TouchOfModern snags $3M for design-conscious men

The flash sales site for men gets support from FLOODGATE and Hillsven Capital

While women typically control the pocketbooks of America (do the kids on the street still use the term “pocketbook”? I don’t even know…), e-commerce options for men are becoming increasingly popular. One such flash sale platform, TouchOfModern, announced Thursday that it has raised $3 million in a Series A round led by FLOODGATE, with participation from existing investor Hillsven Capital.

Launched in May 2012, the site is akin to a Fab for the “design-conscious urban professional.” TouchOfModern offers high-quality items in fashion, accessories, home décor, furniture, and electronics. Luxury brands include Breitling, Rolex, Marshall Audio, and Vinturi wine aerators, among others and designers include Jacob Jensen, Driade, and Pininfarina. Some items are made exclusively for TouchOfModern. The site also provides VIP, personalized customer service for members with inquiries about a designer, additional items in a collection, and more.

Since launching last year, membership has increased 300% and the company saw a 74% increase in revenue in the first half of 2013. A full 70% of TouchOfModern’s customers are men, and CEO Dennis Liu tells me that 40% are repeat customers.

The site is currently members-only, which totally takes me back to Gilt Groupe’s early days, when you had to request an invite to join (and it actually took them a while to get back to you because back then it was all about managing its user base).

“The majority of the funding will go towards hiring and brand building. TouchOfModern will expand to new verticals like fashion and food & beverage later this year, and will also explore plans for international expansion,” said Liu.

Online retail for the fashion-forward man (read: fancy man) is becoming an increasingly crowded space. Bespoke Post raised $850K in seed funding back in March for its monthly box-o-stuff for men. And last month, men’s luxury fashion brand Combat Gent raised $1.84 million. Other players in the space include J.Hilburn, Trunk Club, and, of course, Bonobos.

What makes TouchOfModern so special?

“TouchOfModern’s sourcing strategy and technology platform sets it apart from competitors and makes for a compelling investment,” said FLOODGATE’S Mike Maples, in a statement. “The company’s passion for bringing sophisticated design online, coupled with their proprietary technology infrastructure, has allowed them to achieve scale and profitability much faster and cheaper than their competitor and positioned them for continued success.”