A vendor focused on what happens after an online checkout raises $22 million
June 24, 2016 12:32 PM
A company that aims to help retailers please shoppers after they make a purchase has just raised a major round of funding.
Narvar announced Thursday it raised a $22 million Series B funding round. The lead investor was venture capital firm Battery Ventures, which led social media management vendor Sprinklr’s $46 million round last March.
Narvar offers a suite of tools aimed that enable retailers to interact with their customers after they buy a product. Among them is a tracking sevice that connects to such carriers as FedEx, the United States Postal Service and UPS so that shoppers can see where their package is and when it’s going to arrive. Narvar also provides guidance on how shoppers can return online orders.
Retailers sign up for annual subscriptions to the service, and fees vary based on a retailer’s needs. Narvar wouldn’t provide details on its charges, other than saying retailers pay a monthly fee based on the services they use and their volume.
Narvar founder and CEO Amit Sharma, who has worked in supply chain and operations roles for such major retail brands as Apple Inc. (No. 2 in the Internet Retailer 2016 Top 500 Guide), Wal-Mart (No. 4), and Williams-Sonoma Inc. (No. 21), says he views the post-purchase experience as a missed opportunity for retailers to build their relationships with customers.
While retail sites offer product recommendations and ratings and review while the consumer is shopping, Sharma says the help ends at checkout. “Once you click the Buy button, there’s no engagement from the brand perspective,” he says. “The customer is left all by themselves to figure out how am I going to get this product, how am I going to return it.”
Narvar’s targets retailers that do $100 million or more in online sales each year. Existing clients include retail chain Nordstrom Inc. (No. 18), youth apparel retail chain Urban Outfitters Inc., and cosmetics retailer Sephora USA Inc. (No. 129). Since launching in 2012, Narvar has raised $34 million across three funding arounds, according to CrunchBase.
Sharma says this latest round will go toward doubling the company’s current staff of 60 employees in the next six months and improving its services.