Etsy, a marketplace for kitschy, creative DIY items. It acquired Depop, a hippie marketplace and frugal for slotxo resale items for $1.625 billion this week. So today we're going to talk about the story of two marketplaces. This is a deal that gives us a glimpse into the evolution of social shopping.Depop, for the uninitiated, is a London-based company that targets millennials and Gen Z shoppers. Over the past two years, Depop has grown its user base of stylists, designers, artists, vintage sellers. and others from 13 million to 21 million, and the company claims that 90% of its users are under the age of 26.With this purchase, Etsy is rapidly growing into a new generation. Depop thinks saving is a trend and individualism is more interesting than fast fashion, but to me, combining the two markets isn't where the work stops.
Get more creative with an integrated approach to operations.Etsy needs to find another way. In addition to fresh products, new quantities to modernize the user experience From the first page to the payment, why? Because and I can say that because I'm technically part of the crowd, Gen Z isn't tolerant. Of course, saving is trendy, but so is Amazon. piece I also like the concept of cheap products and two-day delivery. Of course, there are people who sit at one extreme. But I bet the unnecessary milk frother where most Gen Z consumers sit is more of a gray area.Second, Etsy and Depop have the opportunity to invest in the growing trend of social shopping experiences. When I saw this news, I thought of The Landing, a company that uses customizable, collaborative moodboards as a shopping tool.
This startup allows users to create moodboards from products they can purchase. Now it starts with interior design. But the vision can easily be extended beyond household items to clothing or CPG products. Like Pinterest, The Landing seeks to serve a group of customers who like to shop in a collaborative scroll-friendly way. I'm not asking Etsy to get a full start. But it will certainly be interesting to find new ways for consumers to experience the wider market.I'll stop right there and end up with this: As more and more companies With a focus on serving Gen Z, the strategy has to be more than just land grabs. As one person put it, Etsy is “making sure the brand translates across generations of ethos” by acquiring it. I'm excited to watch this case study in the making.
In the rest of this newsletter We will discuss digital health. The beautiful world of S-1 filings and mid-size memos keeps employees leaving the company. As always, you can find me on Twitter @nmasc_ Scoops makes me happy. So if you have any tips on deals or early dramas that I should know, DM me or email me.f my inbox is a fair indicator All other startups right now are trying to get invited to one group chat: Digital Health. We've already covered the boom in health technology in TC, but one question has haunted me for the past month: Where are all the PCOS start-ups? This condition, known as polycystic ovary syndrome, affects 1 in 10 women and seems to go hand in hand with the loud drum sounds of personalized medications. So I went to dig
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