Virtual fitting room start-up Fits.me acquired by Japanese retail giant
Shopping technology provider had recently secured €4.2m to expand client portfolio which includes brands such as Hugo Boss and Thomas Pink
Virtual fitting room service Fits.me, featured in the tech trends of 2015, has been acquired by Japanese e-commerce firm Rakuten in a deal which sees the retailer take a 100% equity stake.
Founded in 2010, Fits.me’s technology enables users to virtually try on clothes by uploading a photo of themselves and entering a few basic measurements (as shown in the image above).
The start-up has experienced rapid growth of late with a team of 60 staff across its London headquarters and three offices in Estonia, and a client list which includes QVC, Thomas Pink and Hugo Boss.
In October of last year, the company secured €4.2m of a €7m ‘top-up’ investment from a management buy-in and CEO James Gambrell had plans to “scale the business globally”.
The deal will see Fits.me operate as a stand-alone business within Rakuten, Inc.
Startups.co.uk had recently identified virtual fitting rooms as a major technology trend for 2015 with virtual services “not only set to change where we shop but how we shop; reducing the common drawback of shoppers not being able to “try before they buy” online.”
Rakuten founder and CEO, Hiroshi Mikitani, commented: “Fits.me represents both the fun and functionality of shopping online and is a natural complement to our growing portfolio of e-commerce and marketing services.
“Not only does the virtual fitting room provide customers with a more realistic shopping experience, it also empowers merchants with the valuable data they need to continually improve their service.”
“Many fashion retailers are still using basic segmentation techniques, but our fit preference insights help them deliver genuine personalisation, which improves customer loyalty and lifetime value.
“We are excited to join Rakuten […] as we build out our ambitious product plans and accelerate our planned growth in Europe, the USA and now Asia.”