Menswear app Thread bags $22m
Written by Hannah McGrath
Men’s fashion app Thread has raised $22 million in Series B funding to drive its team of artificial intelligence (AI) specialists and boost marketing efforts.
The UK-based e-commerce startup, which started out of the Y Combinator startup accelerator in Silicon Valley, uses a combination of AI algorithms and a team of stylists to suggest personalised wardrobe recommendations for style-conscious men.
The Series B funding round, led by Balderton Capital, Beringea and H&M Co:Lab - the investment arm of H&M - will be followed by a crowdfunding raise later this year on Crowcube. The $22 million injection takes total funding raised to $40 million so far.
The money will be used to expand its team of 100 engineers, data scientists and products designers in London.
The company aims to become a “one-stop-shop” for menswear by offering suggestions tailored to budget, style and personal preferences. In the last year the app has added 50 new brands to its collections, including Barbour, Hugo Boss and Levis.
It claims to have signed up over a million users, with over 25 per cent of active customers now buying all their clothes through the site.
Kieran O’Neill, Thread’s chief executive and co-founder, said: “More than ever, guys care about dressing well, which is why menswear is a growing market, but they face an overwhelming number of options on the High Street and online.
“We’re used to having digital services such as Uber, Netflix and Spotify simplify other aspects of our lives, and men are now turning to Thread as their go-to solution for dressing well,” he continued. “As our stylists and algorithms learn more about our customers, we’ve brought on a huge number of new brands to help each of our customers find the perfect clothes for them.”