I need to stop writing about flash sale sites. Every time I do, I end up buying something (which might be considered unprofessional. I call it “enhanced reporting tactics”). But I can’t stop! I need stuff! LOTS of stuff!
One of my favorite home décor flash sale sites, One Kings Lane (Today’s sale—bubble glasses! Jesus, I need those!), announced Monday that it has raised $40 million in a Series C round of funding led by new investor Tiger Global Management, with help from new investor Institutional Venture Partners (IVP), along with existing investors Kleiner Perkins Caufield & Byers and Greylock Partners.
With more than two million members, One Kings Lane is now exceeding $100 million in yearly revenues after experiencing an “explosive 2010” in which annual sales jumped more than 500%, with 75% of those sales coming from repeat customers.
But will One Kings Lane be able to keep up the momentum with new rival Gilt Home on the scene? It doesn’t look like the fancy new luxury home décor competitor has eaten into One Kings Lane’s sales much, if at all, but the flash sales space for home goods and furnishings is heating up.
Back in March, Gilt Groupe acquired luxury home décor site Decorati for an undisclosed sum and later launched Gilt Home, a home goods branch offering steep discounts on everything from rugs and pillows to cookware and appliances.
Additionally, last month, Amazon’s new flash sale venture MyHabit branched out into the home goods space as well, offering discounts of up to 60% on bedding, furniture, kitchen items, and pet accessories.
But, having launched back in 2009, One Kings Lane has the advantage of an established presence in the home décor space.
"One Kings Lane has pioneered a new way to shop for the home and is at the forefront of a $158 billion industry," said Tiger Global’s Lee Fixel, in a statement. "One Kings Lane has a unique understanding of the consumer in the home category, delivering a shopping experience they love while driving innovation in the category."
Fixel will be joining Greylock’s James Slavet and KPCB’s Bing Gordon on the One Kings Lane Board as observers. KPCB partner Aileen Lee, partner and One Kings Lane founders Susan Feldman and Alison Pincus, as well as CEO Doug Mack, will continue to serve as Board members.
For more info on the explosive flash sales space, check out Vator's recent interview with Gilt Groupe CEO Kevin Ryan.