Fashion Cloud Company Profile

Background

Overview

Founded in 2015, Fashion Cloud is a leading B2B platform that facilitates seamless collaboration between fashion brands and retailers. The company's mission is to create a vibrant wholesale community that operates efficiently and sustainably. By providing an all-in-one solution for content and data exchange, as well as digital pre- and reorder processes, Fashion Cloud addresses the fragmentation and inefficiencies prevalent in the fashion wholesale industry. The platform currently serves over 25,000 retailers and 700 brands across more than 50 countries, including notable names like Hugo Boss, Zalando, and Scotch & Soda.

Key Strategic Focus

Core Objectives and Specialization

Fashion Cloud's strategic focus centers on digitizing and streamlining the wholesale processes within the fashion industry. The company specializes in:

• Content and Data Exchange: Enabling brands to share marketing materials, product images, and detailed product data with retailers.

• Digital Pre- and Reorder Solutions: Facilitating efficient ordering processes through web applications and mobile apps, including features like Smart Replenishment and B2B shops.

• Sustainability Transparency: Providing tools for brands to share sustainability attributes, such as certifications and standards, enhancing transparency in the supply chain.

Key Technologies Utilized

The platform leverages advanced technologies, including:

• AI and Machine Learning: Implementing smart algorithms to optimize inventory management and reorder suggestions.

• API Integrations: Ensuring seamless connectivity with various ERP and POS systems to facilitate efficient data exchange.

Primary Markets Targeted

Fashion Cloud primarily targets the European fashion wholesale market, which accounts for approximately 40% of Europe's €500 billion fashion industry. The company aims to expand its reach globally, addressing the needs of both mid-sized and enterprise-level brands and retailers.

Financials and Funding

Funding History

Fashion Cloud has successfully secured multiple funding rounds to support its growth and development:

• December 2022: Raised €25 million in a funding round led by Verdane, a European specialist growth equity investor. Existing investors, including Heartland, also participated.

Utilization of Capital

The capital raised is intended for:

• Product Development: Enhancing existing features like content and order solutions, and developing innovative products such as automated reorder suggestions.

• International Expansion: Accelerating growth into new markets to enable seamless collaboration between brands and retailers worldwide.

• Sustainability Initiatives: Improving transparency by enabling brands to share sustainability attributes through the platform.

Technological Platform and Innovation

Proprietary Technologies

Fashion Cloud's platform includes several proprietary technologies:

• Digital Showroom: An elevated sell-in experience for brands to drive sales, present seasonal collections, and guide retailers with tailored proposals.

• Smart Replenishment: Automated reorder suggestions to ensure optimal stock levels, reducing missed sales opportunities.

• Content API: Facilitates seamless product information sharing, including sustainability data, high-quality visuals, and EDI integration.

Significant Scientific Methods

The platform employs advanced algorithms and machine learning techniques to analyze sales data, predict demand, and optimize inventory management. This data-driven approach enhances decision-making processes for both brands and retailers.

Leadership Team

Executive Profiles

• Alies ter Kuile | Managing Director

Oversees international growth, sustainability, people & culture, data, and finance. Serves on the supervisory board of Greenpeace and the curatorium of the Teldelsstichting. Background in investment banking, with studies in law and philosophy.

• René Schnellen | Co-Founder and Managing Director

Played a vital role in establishing Fashion Cloud in 2015. Background in his family's fashion house, Rupprath, with studies in textile management and business administration. Drives the company's growth and builds strategic partnerships.

• David Schaap | Co-Founder and Managing Director

Oversees product strategy, innovation, and operations. Background in programming and accounting, with experience at Deloitte. Plays a significant role in M&A activities.

Competitor Profile

Market Insights and Dynamics

The fashion wholesale industry is undergoing significant digital transformation, with a growing emphasis on efficient collaboration, data transparency, and sustainability. The market is characterized by a demand for integrated platforms that can streamline operations and foster better relationships between brands and retailers.

Competitor Analysis

Key competitors in the fashion wholesale platform space include:

• JOOR: A global fashion wholesale platform offering collaboration tools, order management, virtual showrooms, and digital linesheets. JOOR provides advanced user permissions, industry-leading assortment planning, and a full suite payment system.

• Colect: Focused on European brands, offering solutions for digital catalogs and sales presentations.

• NuOrder: Targets the U.S. market with a focus on inventory and order management for small and medium-sized businesses.

Fashion Cloud differentiates itself by offering an all-in-one platform that combines content and data exchange with digital pre- and reorder solutions, catering to a diverse range of brands and retailers.

Strategic Collaborations and Partnerships

Fashion Cloud has established significant collaborations to strengthen its market position and innovation capacity:

• Verdane: Led the €25 million funding round in December 2022, bringing deep expertise in B2B software and a large international network to support Fashion Cloud's growth trajectory.