Red-hot fashion site Nasty Gal has completed its series B round of funding
of $40 million from its sole investor, Index Ventures. The site which was
launched in 2006 by 28-year old Sophia Amoruso, has experienced exponential
growth rates with the comapny and over 60% gross margins putting it on-par with
the big names in retail. The company which had sales of $28 million is on
track to more than quadruple its 2011 sales to the tune of $128 million.
Unlike most Internet firms, Nasty Gal boasts a 350,000-strong loyal user base from 60 countries with a quarter visiting the site for seven minutes per day and the top 10% visiting the site more than 100 times per month. This is remarkable even for an fashion site. The company has a plethora of competitors from Lyst which raised $5 million and JustFab which raised 76 million.
The company has not relied heavily on major advertisements through celebrity endorsement but mainly through social media and the quality of its products.
Time will tell if the remarkable growth will continue and it will be the face of fashion e-commerce on the Internet. Please leave your comments below.
Source: TechCrunch
Image Source: Nasty Gal homepage
Tags : E-Commerce, fashion, Nasty Gal, Venture Capital
