ShopShops, a livestream shopping platform, has raised $15 million in Series B funding from LightShed Ventures, Acrew Capital and existing investors including Forerunner Ventures, the company announced on Wednesday. The announcement comes as livestream is growing, and amid several other funding rounds from livestream shopping platforms.
ShopShops' funding will support the company's U.S. expansion and growth among cross-border shoppers in China, the company said.
The company launched a beta app in the U.S. in December 2020. The traction from the launch and the increase in U.S. shopping demand for livestream commerce influenced its decision to expand its reach in the area, per the announcement.
Livestream shopping is on the rise across the industry.
As ShopShops raises funding to grow its reach in the U.S., other livestream shopping platforms like Talkshoplive and Whatnot have also closed funding rounds in recent months in the hope of capitalizing on the emerging livestreaming market. Per an April Coresight Research report, the livestreaming market is expected to grow to $25 billion by 2023.
ShopShops noted that it has hosted livestreams with more than 750 fashion, beauty, lifestyle and food brands. Among the brands featured on its platform have been Jimmy Choo, Zac Posen, Rag and Bone, and Everlane, per the announcement.
"Since founding ShopShops, the vision has been to allow customers all over the world to shop global, like a local, from the palm of their hand," Liyia Wu, ShopShops founder and global CEO, said in a statement.
Though livestream commerce was already popular overseas, especially in China, brands and retailers have started to invest in bringing the technology to U.S. consumers. That's led to platforms centered on livestream commerce raising more capital to fuel growth, and also to more retailers experimenting with the channel.
Nordstrom in March introduced a shoppable livestream platform, while Amazon in 2019 debuted a livestream-focused portion of its website. QVC, which has been at the forefront of selling through video channels since its inception, recently shifted its strategy by opening a livestream shopping channel on YouTube TV. Social media platforms have also adapted to take advantage of interest in the channel, with Facebook launching a summer livestream series this year and Instagram expanding livestream capabilities through Live Rooms in March.