In 2017 one of the most innovative companies in the world opened its virtual doors. That company was Brandless, an online retailer that sells its own line of nonperishable food and other household items.
When the company first launched they charged a flat rate of $3 for everyday essentials. However, as the Brandless brand started to expand, the company decided to make a few minor changes to its pricing.
In January 2019, Brandless introduced pet and baby care to their line of products. One example of how Brandless changed their pricing structure can be seen with their diapers.
First and foremost, these diapers are made using wood pulp from sustainable forests. How amazing is that?
And as far as pricing goes, you can get a one week supply of diapers for just $9. The number of products you receive will vary depending on the current weight of the baby.
Similar to direct-to-consumer startups Warby Parker and Everlane, Brandless wants to cut out the middleman markups that are often associated with national brands.
Brandless also sets their own rules when it comes to manufacturing products. For example, all food products manufactured by Brandless are non-GMO and free of preservatives.
All Brandless beauty products are also devoid of over 400 harmful ingredients. That means you won’t find any sulfates, phthalates, or parabens in their beauty products.
Who Founded Brandless?
Brandless was founded by Tina Sharkey and Ido Leffler, two already super successful serial entrepreneurs.
It didn’t take long for investors to see the potential in this company. Shortly after launching, Brandless had already received close to $300 million in funding.
Brandless was set to grow quickly. And that is exactly what it did.
In 2018, the company received even more funding to the tune of $240 million in Series C funding. This round of funding came from the SoftBank Vision Fund.
The influx of cash was used to expand infrastructure, distribution, and logistics capabilities. All of this is necessary to ensure Brandless is not only able to keep up with demand, but that they are also able to continue to grow that demand.
Brandless also used some of their funding to invest in data science. By investing in data science the company will be able to provide consumers with a more personalize shopping experience.
It will also put them in a position to compete directly with Amazon by providing consumers with a legit alternative.