Why commerce companies are the advertising players to watch in a privacy-centric world

The unchecked digital land grab for consumers’ personal data that has been going on for more than a decade is coming to an end, and the dominoes have begun to fall when it comes to the regulation of consumer privacy and data security.

We’re witnessing the beginning of a sweeping upheaval in how companies are allowed to obtain, process, manage, use and sell consumer data, and the implications for the digital ad competitive landscape are massive.

On the backdrop of evolving privacy expectations and requirements, we’re seeing the rise of a new class of digital advertising player: consumer-facing apps and commerce platforms. These commerce companies are emerging as the most likely beneficiaries of this new regulatory privacy landscape — and we’re not just talking about e-commerce giants like Amazon.

Traditional commerce companies like eBay, Target and Walmart have publicly spoken about advertising as a major focus area for growth, but even companies like Starbucks and Uber have an edge in consumer data consent and, thus, an edge over incumbent media players in the fight for ad revenues.

Tectonic regulatory shifts

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Image via Getty Images / alashi

By now, most executives, investors and entrepreneurs are aware of the growing acronym soup of privacy regulation, the two most prominent ingredients being the GDPR (General Data Protection Regulation) and the CCPA (California Consumer Privacy Act).

On Prime Day, Amazon workers and immigrants rights organizations are protesting

On the start of Amazon’s biggest sales event of the year, Amazon workers and activists are taking to the streets today in protest of the retail giant. Protests are planned for San Francisco, Minnesota, New York, Seattle and other locations across Europe.

The biggest employee-led one is happening in Shakopee, Minn., where Amazon warehouse workers protesting the working conditions, pay, benefits and general culture.

“These workers, primarily Muslim, East African immigrants, want humane working targets to reduce injuries, full-time instead of temporary working status, and fair opportunities for promotions,” a group of Amazon employees advocating for climate justice wrote on Medium a couple of days ago. “These FC workers reached out to us, Amazon Employees for Climate Justice (AECJ), asking for support.”

This is not the first time warehouse workers in Minnesota have organized. In March, workers went on strike for three hours to call for better working conditions. Last year, those same workers demanded more time for prayer and smaller workloads while fasting during Ramadan.

“Amazon workers are sending a powerful message to Jeff Bezos this Prime Day: It’s time to stop putting profits ahead of people,” United Food and Commercial Workers International Union President Marc Perrone said in a statement today. “With the recent move to one-day Prime shipping, Amazon workers are being forced to meet impossible demands at increasingly unsafe speeds.”

Amazon, however, says its critics are “conjuring misinformation to work in their favor,” an Amazon spokesperson said. Amazon says it already offers the things unions are asking for. Last October, Amazon raised the minimum wage for all warehouse workers to $15 an hour for its U.S.-based workers, but many said that was not enough.

“We can only conclude that the people who plan to attend events today are simply not informed,” the spokesperson said. “As a company, we work hard to provide a safe, quality working environment for the 250,000 hourly employees across Amazon’s U.S. facilities.”

The spokesperson went on to describe how its associates are core to its operators and how they regularly encourage friends and family to apply for roles.

“We encourage anyone to compare our pay, benefits, and workplace to other major employers across the country,” the spokesperson said.

In San Francisco, organizers at Bay Resistance are protesting outside one of Amazon’s offices in the city to demand Amazon end its relationship with Immigration and Customs Enforcement. The group is also urging Amazon to stop promoting its facial recognition technology, Rekognition, to law enforcement agencies and ICE.

“As we’ve said many times and continue to believe strongly, companies and government organizations need to use existing and new technology responsibly and lawfully,” the Amazon spokesperson said. “There is clearly a need for more clarity from governments on what is acceptable use of AI and ramifications for its misuse, and we’ve provided a proposed legislative framework for this. We remain eager for the government to provide this additional clarity and legislation, and will continue to offer our ideas and specific suggestions.”

To stand in solidarity with Amazon workers, some activists are asking the masses to boycott Amazon, which means no Amazon.com, Amazon Prime Video, Whole Foods, Kindle, Audible, Book Depository, Twitch, IMDb, AWS, Goodreads and Comixology.

Report: Amazon Prime Day 2019 will push US e-commerce sales to over $2 billion

A report from Adobe’s analytics arm predicts Amazon’s Prime Day 2019 sales event, which began today, to have another sizable impact on the U.S. e-commerce market. The company expects a revenue lift for top retailers — those with over $1 billion in online sales — to reach 79% this year, up from the 60% lift they saw during Prime Day 2018. And it says that Prime Day will become the third time outside the holiday season that U.S. e-commerce spending will top $2 billion, as it previously did on Labor Day 2018 and Memorial Day 2019.

“We attribute this growth in sales to the fact that the big e-commerce competitors have become better at reaping the benefits of this artificial holiday,” said Taylor Schreiner, principal analyst at Adobe Digital Insights (ADI). “After all, they’ve now had almost five years of practice in converting Prime Day traffic.”

The $2 billion figure includes Amazon, Adobe says, but is limited to U.S. e-commerce sales.

However, Prime Day itself now runs across a number of international markets, including, for the first time, the United Arab Emirates, alongside the U.K., Spain, Singapore, Netherlands, Mexico, Luxembourg, Japan, Italy, India, Germany, France, China, Canada, Belgium, Austria and Australia.

Top Amazon rivals like Walmart, Target, eBay, Best Buy and others are running their own sales today, as are many e-commerce retailers. In fact, an earlier report from RetailMeNot predicted that this year, 250 retailers will compete with Amazon on Prime Day. That’s up from 194 last year and up from just seven on the first Prime Day in 2015.

EBay, in particular, went a little dirty with its counter-sale, calling it a “Crash Sale” — a reference to how Amazon.com tanked on Prime Day 2018.

But that branding has paid off — according to the latest from website monitoring firm Catchpoint, Amazon has not had stability issues as of yet. The firm has been tracking Amazon’s desktop and mobile websites since 3 AM ET today, and as of 10 AM ET reports no problems. It even found that the average website load times are just as fast as last week when there was no sale.

That either speaks to big improvements to site stability to address last year’s issues, or perhaps a decline in consumer interest in Prime Day 2019 — perhaps because one of Prime Day 2018’s top-sellers, the Echo Dot, had a huge price cut before Prime Day began, to $24.99. (Now it’s $22 for Prime Day.) We won’t know until the reports roll in later in the day, and after the sales event wraps.

Online shopping guide SMZDM surges 44% on China stock market debut

When Chinese internet companies seek initial public offerings, they tend to look to the United States where rules for profitability are less strict. SMZDM, an online shopping guide that few people outside China have heard of, has joined a small rank of internet startups that are trading on public markets in mainland China.

SMZDM, short for Shen Me Zhi De Mai or “what’s worth buying” in Chinese, saw its shares soar nearly 44% on its first day of trading in Shenzhen. After pricing its IPO at 28.42 yuan ($4.13) and opening the day at 34.1 yuan, SMZDM closed at 40.92 yuan. This values the company at about 2.18 billion yuan ($320 million).

The company is raising 330 million yuan from the public offering and plans to spend the money on upgrading its big data capabilities so it can deliver more personalized content and services to users.

Before applying for an A-share listing on China’s main bourses, firms generally need a three-year track record of profitability, though the country has made progress to smooth the way for loss-making, high-potential tech firms. SMZDM clocked (in Chinese) net income of 19.35 million yuan ($2.81 million), 35.16 million yuan and 86.24 million yuan in 2015, 2016 and 2017. Its revenue climbed from 97.29 million in 2015 to 367 million yuan in 2017.

Since its founding nine years ago, SMZDM has only raised from one institutional investor, China Growth Capital. Why sell shares to the public when the company was already earning good money?

“For an internet startup to keep attracting talents, it needs to have a transparent corporate structure and an employee stock ownership plan,” Wu Haiyan, managing partner at China Growth Capital, told TechCrunch in an interview. “Of course, going public is another way to raise capital.”

SMZDM began life as founder Sui Guodong’s blog where he reviewed a range of gadgets as a pastime. Over time, the WordPress site blossomed into a public platform where people share guides to purchasing products of all sorts — from baby milk formula to Nikon’s latest lens — and where to get the best deal. When a transaction happens on its partnering marketplaces, SMZDM gets a commission.

The model means shopping guides like SMZDM rely overwhelmingly on shopping portals for success and are susceptible to the changes at the e-commerce behemoths. Indeed, over 85% of SMZDM’s commission and marketing revenues in 2018 came from Alibaba, JD.com, Amazon and its other major clients.

For now, at least, Alibaba and the like seem to show enough interest in third-party product review sites. As Wu argued, “the heart of e-commerce portals is to drive sales instead of building a community for giving and receiving unbiased feedback,” which is SMZDM’s value proposition. The key performance index of an online community, she added, is the level of user interaction and amount of content they generate.

That’s why both Alibaba and Tencent — which has backed e-commerce companies JD.com, Pinduoduo and Mogu — threw money at Xiaohongshu (“The Little Red Book” in Chinese), a part marketplace, part social media platform for learning lifestyle trends.

While shoppers on Xiaohongshu are predominantly female as is the case with most Chinese e-commerce services, over half of SMZDM’s users are male, a result largely attributable to its abundant content about hardware and home appliances.

That library of product reviews, Wu argues, is what sets SMZDM apart from its competitors.

“Building any community takes time and capital alone can’t help it grow,” the investor observed. “People stay for high-quality content and interaction with like-minded users. When a community starts to have its own vibe, people will stick around.”

Amazon Prime Day’s top device deals include discounted Echo speakers and Fire TV’s

Amazon’s list of Prime Day deals has finally dropped. The retailer’s Black Friday-style sale for its Prime members is one of the biggest online shopping days of the year, as other retailers now take part with their own competitive sales. But some of the best deals to be found on Prime Day are those on Amazon’s own devices. This year, Amazon is pushing its Echo speaker and Fire TV Stick devices in particular, with sale prices that are 50% off or higher from the regular list prices.

According to an analysis of this year’s deals by Offers.com, the three biggest device deals this year are the $49.99 Echo Smart Speaker 2nd Generation (50% off its regular price of $99.99); the $14.99 Fire TV Stick (63% off its regular price); and the $24.99 Fire TV Stick 4K (50% off its regular price).

These prices don’t officially go live until Prime Day’s now two-day sale begins on Monday, July 15 at 12 AM PT.

However, the devices may not be selling for their “list” price today — Amazon has discounted some items ahead of Prime Day to encourage early shopping. And some will go on sale ahead of Prime Day on Saturday, July 13 — but only if you ask Alexa “what are my deals?” to gain early access.

Compared with Prime Day 2018, 70% of this year’s deals are better and three are tied, with an average price decrease of 14.5%, according to Offers.com’s report. And compared with Black Friday 2018, 72% of the deals are better, and three are tied, with an average price decrease of 17%.

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Above: Prime Day deals comparison via Offers.com

What’s interesting is that last year’s Prime Day and Black Friday/Cyber Monday bestseller, the standard Echo Dot, isn’t included on the Prime Day 2019 device deals list. Instead, Amazon is listing discounts for its Echo, Echo Show, Echo Plus, Echo Input, Echo Dot Kids Edition, and even Facebook’s Portal (which has Alexa built-in), along with its Alexa-powered Fire TV devices.

That being said, the Echo Dot was marked down ahead of Prime Day to its lowest-ever price of $24.99 — half off its list price of $49.99.

Other Amazon’s device deals span Kindle tablets and e-readers, Ring and Blink home security products, as well as smart home products from ecobee, eero, and Amazon itself.

More broadly, Amazon says it will offer over a million deals during the sales event, with a special focus this year on “celeb deals” from Jaden Smith, Marshmello, Zac Brown, and others, including the exclusive launch of Lady Gaga’s HAUS Laboratories beauty collection.

The full list of Amazon’s device deals is below.

Fire TV

  • Save $25 on Fire TV Stick with Alexa Voice Remote, $14.99
  • Save $25 on Fire TV Stick 4K with Alexa Voice Remote, $24.99
  • Save $50 on Fire TV Cube, $69.99
  • Save $100 on Fire TV Recast, now starting at $129.99
  • Get a $45 Sling TV Credit, which can be applied to $15 off your first three months when you buy a Fire TV Stick, Fire TV Stick 4K, Fire TV Cube, or Fire TV Recast
  • Get 50% off for three months when you subscribe to SHOWTIME or STARZ on Prime Video channels or in-app
  • Get 50% off for three months when you subscribe to CBS All Access on Prime Video channels
  • Get SEGA Classics for $4.99

Echo & Alexa

  • Save $50 on Echo, $49.99
  • Save $70 on Echo Show $159.99
  • Save $40 on Echo Plus, $109.99
  • Save $20 on Echo Input, $14.99
  • Save $120 on Portal from Facebook with Alexa Built-in, $79

Fire tablets

  • Save $20 on the all-new Fire 7 tablet, $29.99, or get two for $49.98—a $50 savings
  • Save $30 on the Fire HD 8 tablet, $49.99, or get two for $79.98—an $80 savings
  • Save $50 on the Fire HD 10 tablet, $99.99, or get two for $179.98—a $120 savings

Kids Devices

  • Save $40 on the all-new Fire 7 Kids Edition tablet, $59.99, or get two for $99.98—a $100 savings
  • Save $50 on the Fire HD 8 Kids Edition tablet, $79.99, or get two for $139.98—a $120 savings
  • Save $50 on the Fire HD 10 Kids Edition tablet, $149.99, or get two for $279.98—a $120 savings
  • Save $25 on Echo Dot Kids Edition, $44.99

Kindle

  • Save up to $80 on Kindle Oasis (9th generation), plus get a $5 eBook credit and three months free Kindle Unlimited, starting at $174.99
  • Save up to $50 on Kindle Paperwhite, plus get a $5 eBook credit and three months free Kindle Unlimited, starting at $84.99
  • Save $30 on the all-new Kindle, plus get a $5 eBook credit and three months free Kindle Unlimited, $59.99

Home Security

  • Save $30 on Ring Video Doorbell, $69.99
  • Save $80 on Ring Video Doorbell Pro, $169
  • Save $130 on a Ring Alarm 14-Piece Kit, $199
  • Save $60 on Ring Spotlight Cam, $139
  • Save $55 Ring Stick Up Cam, $124.99
  • Save $60 on a Blink Indoor Cam 2-Cam System, $79.99
  • Save $80 on the all-new Blink XT2 2-Cam System, $99.99

Smart Home

  • Save up to $200 on eero WiFi systems
  • Save $100 on an eero Router, just $99
  • Get an Amazon Smart Plug and Echo for $54.98
  • Save $50 on the all-new ecobee Smart Thermostat with Alexa Built-in, $199

Amazon’s Prime Day 2019 non-device deals, meanwhile, can be found here.

 

Dejbox wants to deliver food to offices in business districts at scale

Meet Dejbox, a French food delivery startup that tries to avoid busy cities in order to accommodate people who really need a new lunch option. The company is a food delivery startup that designs its own meals, works with other companies to cook them, sell them and deliver them.

“Corporate headquarters are more and more often far from city centers. But what about lunch options for those areas?” co-founder and co-CEO Vincent Dupied told me.

Answering this question creates logistical challenges more than anything else. It’s hard to cover wide areas that are spread out all around busy cities, such as Paris, Lille and Lyon. And Dejbox has made some radical decisions that set them apart from well-known companies, such as Deliveroo, Uber Eats or even Frichti.

Each delivery person drives a truck with 100 to 150 meals. This way, they can deliver multiple offices during one run. It means that customers can’t just order something and get it 30 minutes later.

They need to complete their order before 10:30am or 11am to get it for lunch time. And of course, you can also order multiple days in advance in case you don’t want to think about lunch for the rest of the week.

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When it comes to sales, Dejbox tries to spot the most promising companies to pitch them the service. After that, multiple employees usually order from Dejbox every day. It means that delivery persons carry multiple meals and leave them in the kitchen or at the reception desk.

“Our delivery persons are a bit like mail carriers, they have the same itinerary every day and their own clients,” Dupied said.

That’s why Dejbox wants to empower its delivery staff as much as possible. They’re all full-time employees and they get monthly reports telling them how much revenue they’ve generated for the company.

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This combination of low customer acquisition cost, low unit economics and high lifetime value has been working well. Partech first spotted them at the end of 2015 and invested a tiny $560,000 seed round (€500,000). Dejbox was only delivering 80 meals per day in the Lille area back then.

The startup quickly expanded to Paris and Lyon with the exact same focus on corporate headquarters in boring areas. In March 2017, Dejbox raised a $2.3 million Series A round (€2 million) from Partech and Leap Ventures. The company launched in Bordeaux a few months later.

And the company is quite transparent when it comes to metrics. During the first ~18 months, the startup generated $1.4 million in revenue, $4.5 million in 2017 and $11.3 million in 2018 (€1.2 million, €4 million and €10 million respectively).

This year, the company plans to generate $22.5 million in revenue (€20 million) and open two new cities — Nantes and Grenoble. Dejbox now delivers 10,000 people every day.

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Walmart-owned Sam’s Club launches same-day pickup across the U.S.

Walmart’s grocery pickup business has been scaling quickly in recent years, and is now on track to reach 3,100 U.S. stores by year-end. Now, Walmart’s Sam’s Club business is making its own move to satisfy consumers’ demand for online ordering with same-day pickup. The retailer this week announced that same-day Club Pickup is now available at its nearly 600 U.S. locations.

The company began testing pickup at select locations starting last summer.

To order from Sam’s Club, members can either go online to SamsClub.com or use the Sam’s Club app to shop for items, check out, and pay. The orders will be ready for pick up within four hours — and often quicker, the retailer notes. The members will receive a text or email when their order is ready.

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However, unlike Walmart, Target, or Amazon-owned Whole Foods order pickup programs, Sam’s Club has put a cap on order size. To qualify for same-day pickup, orders can’t exceed more than 15 items, the company says. To some extent, this limit makes sense, as many Sam’s Club shoppers use the warehouse club to shop in bulk to restock a large household — or even their small business — with various essentials. There may not be enough staff and time for Sam’s Club personnel to pull and prep more sizable orders for same-day pickup.

That said, knowing there’s a limit on how much you can order could dampen consumers’ use of the same-day pickup option — or have them turning to rivals instead.

Sam’s Club says members can order a range of items through the new service, including groceries, paper goods, electronics, and even alcohol. Produce and meat have so far been the most frequently ordered items.

Pickup is offered after 10 AM Monday through Friday, and after 9 AM on Saturday. Sam’s Club Plus members, who also have the option of shopping early, now will also have access to early pickup hours, too. These members can opt to schedule pickups between 7 AM and 10 AM, Monday through Friday.

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Like parent company Walmart, some Sam’s Club location will offer a drive-up pickup area where employees will bring the order out to the car and load it.

Same-day grocery pickup has been one of the many ways U.S. retailers have been challenging Amazon. By leveraging their existing brick-and-mortar footprint and proximity to shoppers’ homes, businesses like Walmart, Target, and even local grocers (often in partnership with Instacart), have been making it easier for shoppers to order online for same-day pickup.

Sam’s Club, too, has an Instacart deal in place. The partnership, focused on same-day grocery delivery, was first announced in February 2018 and significantly expanded to over half of Sam’s Club locations in October. Last month, the Instacart partnership expanded again to include alcohol delivery at 215 stores across nearly a dozen U.S. states.

The company also last year announced free shipping by way of its Plus membership, as an alternative to Amazon Prime.

 

 

Amazon invests $700 million to retrain a third of its U.S. workforce by 2025

Amazon announced this morning a plan to invest over $700 million to retrain workers across the U.S. to allow them to move into skilled technical and non-technical roles across its corporate offices, tech hubs, fulfillment centers, retail stores, and transportation network. The company’s goal is to “upskill” 100,000 of its U.S. employees for more in-demand jobs by 2025 — or, one in three of Amazon’s U.S. workers.

In particular, Amazon has its eye on job roles like data mapping specialist, data scientist, solutions architect, and business analyst, as well as logistics coordinator, process improvement manager and transportation specialist, it says. Based on a review of its workforce and U.S. hiring, these are the fastest-growing, highly skilled jobs over the past five years.

For example, data mapping specialists have seen job growth of 832% in the past five years, based on Amazon’s own data, while data scientists jobs grew 505%, solutions architect grew 454%, security engineer jobs grew 229%, and business analyst jobs grew 160%. Meanwhile, the highly-skilled job roles in customer fulfillment have grown by 400%.

Amazon’s U.S. workforce is expected to reach 300,000 employees this year, and it will reach 630,000 employees worldwide.

The retraining investment breaks down to around $7,000 per worker, and it one the largest corporate retraining programs to date.

The funding will be distributed across a range of programs, including both existing programs and new initiatives. It will also be focused on training people both with and without existing technical backgrounds.

These programs include the new Amazon Technical Academy, which will train non-technical Amazon employees with skills that allow them to transition to software and engineering careers; the new Associate2Tech program that will train fulfillment center associates to move into technical roles; and the new Machine Learning University, to train those with a tech background to branch into machine learning.

Amazon will also expand its Career Choice program, launched in 2012, which offers pre-paid tuition to fulfillment center associates who want to move into high-demand jobs; plus Amazon Apprenticeship, a Department of Labor certified program offering paid classroom training and on the job apprenticeships with Amazon; and its AWS Training and Certification programs focused on closing the skills gap.

“Through our continued investment in local communities in more than 40 states across the country, we have created tens of thousands of jobs in the U.S. in the past year alone,” said Beth Galetti, Senior Vice President, HR, in a statement released this morning. “For us, creating these opportunities is just the beginning. While many of our employees want to build their careers here, for others it might be a stepping stone to different aspirations. We think it’s important to invest in our employees, and to help them gain new skills and create more professional options for themselves. With this pledge, we’re committing to support 100,000 Amazonians in getting the skills to make the next step in their careers,” she added.

The investment follows Amazon’s raising of its minimum wage to $15 for all U.S. employees last year, after the retailer was increasingly under attack for how its workers were treated and paid. Senator Bernie Sanders, in particular, had called out Amazon for engaging in “corporate welfare,” noting that Amazon wages were so low that workers couldn’t take care of their families — meaning thousands were on government subsidy programs, like food stamps.

Amazon CEO Jeff Bezos later challenged other retailers to follow his lead, and raise their minimum wages too. But that’s easier said than done as Amazon is so far ahead that its nearest e-commerce competitor, Walmart, is losing $1 billion this year on its e-commerce division as it tries to catch up.

The news also comes at a time when the role of technology’s impact on jobs is starting to take shape. As warehouses become more automated and jobs, overall, become more technology-dependent, it makes sense that Amazon would want to look internally to fill these new roles.

 

Brooklinen, known for high-quality bed sheets, launches its first line of loungewear

Brooklinen, the direct-to-consumer bed sheet brand backed by investors including FirstMark, is entering the apparel space with its first line of loungewear. The company says its designs, including tops, pants, shorts and a dress, are inspired by vintage athletic clothing and made from cotton and modal blended with spandex. Prices range from $28 for a t-shirt to $75 for jogger pants.

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The startup, whose investors also include NYU Innovation Venture Fund and Dorm Room Fund, has built its reputation around high-quality but affordable linens and is able to offer lower prices by controlling the design, manufacturing and logistics and fulfillment of its sheets, comforters, pillows and towels. It is primarily an e-commerce startup, but has also run pop-up shops. Brooklinen’s last round of funding was a $10 million Series A announced in 2017.

Online community theAsianparent raises Series C to add e-commerce and expand into new markets

TheAsianparent, Southeast Asia’s largest online community and content platform for mothers with 23.5 million monthly active users, announced today that it has raised a Series C led by Fosun Group, the Chinese conglomerate. The amount was undisclosed, but a person familiar with the deal says it was between $10 million to $30 million. E-commerce giant JD.com also participated, along with ATM Capital, Redbadge Pacific and returning investors Global Grand Leisure and WHG Holdings.

The new funding will be used on theAsianparent’s new e-commerce business and its expansion into new markets in Asia and Africa, focusing first on Nigeria, Kenya and South Africa. Roshni Mahtani, the founder and CEO of Tickled Media, theAsianparent’s publisher, tells TechCrunch it looks for countries with high birth rates but relatively few online resources and communities for new parents. The site will have its own branding for African markets and launch first in Nigeria with localized content and a social network.

TheAsianparent, which currently has a team of 180 people across 12 countries and is headquartered in Singapore, will focus on building its e-commerce business in Asia markets first, specifically Indonesia, the Philippines and Singapore, with JD.com providing advice on things like logistics. TheAsianparent will start selling products through its site and launch its own direct-to-consumer brand later this year.

“The way I see it is that for media companies to be relevant, you need to have content, community and commerce, so that it becomes very easy for consumers to trust you for content and community, and also be able to buy products that you recommend and that have been created for their communities,” says Mahtani, who launched theAsianparent as a parenting blog in 2009.

TheAsianparent’s mobile app, which includes articles, community features and baby development trackers, launched in September 2018, has been installed 1.6 million times so far. Mahtani says the theAsianparent had a traffic growth rate of about 70 percent before funding and expects it to increase by a much faster rate now. It is expected to make $10 million in revenue this year and reach $100 million within the next five years.

In a prepared statement, Wilson Jin, the chairman of Fosun RZ Capital, said “TheAsianparent, as the largest maternal and child community in Southeast Asia, has won the trust of young mothers in Southeast Asia and has a huge commercial space. In the past few years, theAsianparent has fully verified its business development and product evolution capabilities , it is an outstanding entrepreneurial team.”