Fetise.com, a niche e-commerce site launched by Fetise Retail Pvt Ltd, has raised $5 million in its first round of funding from Seedfund. Fetise.com is an invitation-only luxury fashion portal which focuses on luxury brands for men and was launched in March 2011. It claims to offer apparel, watches, footwear and accessories from top luxury brands like Versace, D&G, Jil Sander, Dunhill and Ferrari at discounted prices, with discounts ranging up to 80% on retail prices.
In the past nine months, the company has reportedly handled 500 transactions per day at a revenue run-rate of Rs 2-2.5 crore per month and an average billing amount of Rs 1500, as reported by Economic Times.
It intends to use this funding to scale up its product range, overhaul its website and improve its supply chain and logistics, and its technology and marketing activities. In addition, Fetise also intends to open more warehouses in the next 6-12 months. The company currently has two warehouses.
Our Take: Fetise currently competes with online apparel players like Smile Interactive’s Freecutlr which recently raised $4 million from Sequoia capital, Times Internet Limited’s* HutK.com, ThePrivateSales, Exclusively.in, FashionAndYou, and the India Today group’s bagittoday, among others. However Fetise currently focusses only on luxury brands for men. Why don’t they diversify into women’s apparel as well, like the SAIF Partners backed Zovi.com which launched as men-only apparel brand and added women’s apparel late last year.
Nikhil adds: interesting to note SeedFund’s entry into the online retail space, given that the fund has so far stayed away, and SeedFund partner Mahesh Murthy has been rather vocal about an e-commerce bubble. Do read: Stop blowing our bubbles and Mahesh Murthy On E-com Bubble Bath Being Driven By ‘Topi’ Investors
Note: This investment was announced on December 22, 2011 while we were on vacation.
*Disclosure: Indiatimes is an advertiser with MediaNama