Threecolts, a London-based ecommerce platform founded by a former Amazon partner lead, has raised $90m (£75.4m) after completing a Series A funding round.
Founded in 2021 by former Amazon API partner lead of EMEA, Yoda Yee, Threecolts develops management software for ecommerce brands and individual merchants to run their Amazon sales channels.
Yee’s background working with third-party sellers while at Amazon helped inspire the creation of Threecolts. The founder has said that sellers have difficulty trusting Amazon’s sales tools because the tech giant has its own incentives to consider beyond those of the sellers.
Because Amazon deals in both third-party and first-party sales, it essentially competes with itself, Yee said. While it makes money in all cases, it has a financial incentive to prioritise its own sales over third-party merchants on its platform, according to Yee.
Regulators in the UK and EU have both investigated Amazon in recent history over similar allegations.
Threecolts provides sales channel management tools to sellers using Amazon. These include data analytics, customer service integration, and automated ‘smart repricing’.
In its short existence, the startup has amassed a customer base of 22,000 and has grown its staff headcount to more than 150, up from just 21 a year ago.
The £75.4m figure represents the total funding raised by the company since its foundation, which is split across a Series A round, a pre-Series A investment, and debt investments. The company has not disclosed the breakdown of each individual investment.
Threecolts has received financial backing from Crossbeam Venture Partners and General Global Capital, which have both acted as lead investors. Other backers include Stratos and CoVenture.
“Threecolts’ impressive execution over the past year means that sellers can now access a one-stop-shop solution for an increasing number of pain points, easing vendor fatigue and administrative loads,” said Sakib Jamal, senior investment associate at Crossbeam.
“Yoda and team have provided returns that are realized in quick feedback loops for customers of all shapes and sizes, from large enterprises to up-and-coming businesses.”