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How to get financed? Learn from StartUp Allbirds

From time to time we also report here of StartUps getting fat financing from investors. This only shows how blatant this market is booming. For example, the sneaker reseller GOAT received a 100 million financing.

Today we have another startup for you that has received $ 50 million! This is about the two year old company Allbirds. The shoes are not as well known as Air Jordans, but was enough. The company became known for its merino wool sneakers, which were designed to be the “most comfortable shoe in the world”. That fit perfectly at the time of the business-casual look. That’s how Allbirds managed to sell over a million sneakers in just two years! Not bad!

With sneakers, these slippers have rather little on the hat

Maybe this fact has also recognized the company and expanded the boring grandpa slippers with cooler sneakers. Now not only wool is used, but also other materials. For the summer sneakers eucalyptus fibers are used, for example, so that the feet do not sweat so much. It should also give a flip-flop collection, which consist of sugar cane foam. So customers can feel “good” even after the purchase.

The company announced it had raised an additional $ 50 million in funds from T. Rowe Price, Fidelity and Tiger Global, bringing the total investment to $ 77.5 million. The new round of financing rates the company at over $ 1 billion!

Allbirds – Bad planners or good business people?

“We had an incredible start and incredible response from our customers in a way we never imagined,” said Allbird co-founder and co-CEO Joey Zwillinger. The growth of the San Francisco-based brand surprised even co-founders Zwillinger and Tim Brown.

What we also find pretty cool is that Allbirds is focused on making all sneakers sustainably produced. This justifies the somewhat high price, which is not extremely high. Just perfectly balanced.

Zwillinger had recently looked at old documents, where they talked about the sales figures at the foundation.

His five-year post-market sales forecast was only half of what he achieved in his first year. “Either we did it really well or we are really fucking planners”. Horny, if it goes so well that you can laugh about it.

We have already mentioned that it was the perfect timing here as well. Of course, your sneakerheads have known this for a long time. Sneakers are no longer just for the gym, but can also be worn perfectly in everyday wear.

What can we expect from Allbirds?

Experts believe that Allbirds will still grow vigorously. Let’s see if they are right. The expansion to the UK is planned in the coming weeks. The step into the other European countries is not far away either. Allbirds is already well represented in New Zealand, Australia, Canada and the USA.

Currently, Allbirds is more or less an online company. That too will probably change a bit. As part of the expansion in the UK, Allbirds opens the third physical store in London. Pretty fat company, right?

We definitely keep an eye on Allbirds for you and report as soon as there is something new here.


Also published on Medium.

Published inStartups
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