We're excited to share Returnly has raised $8 million in Series A funding. In addition to the Series A round, we also secured a credit facility enabling us to finance over $300 million in repurchases for Returnly customers every year.
The funding round was led by inside investors Mundi Ventures and The Venture City, with participation from Novel TMT Ventures and CoVenture. In addition, CoVenture supplied Returnly with the line of credit and together, these two financing vehicles position us to help our merchant partners strategically address the $150 billion market for ecommerce returns.
When we started Returnly, we wanted to end the decades-long struggle with slow and manual product returns. Initially, this meant automating label generation and providing customer-friendly online returns. But in the two years since launching, shopper expectations have changed. Modern consumers don’t want to be exposed to the clunky reverse logistics processes that come into play when returning products online. The challenge for brands is that they can’t assess their shoppers behavior until a return is processed at the distribution center and as a result, cannot offer shoppers the instant gratification and seamless returns experience they expect.
Today, we’re proud to have developed relationships with hundreds of merchant partners helping to elevate their online shopping experience and remove product returns friction altogether. With Returnly, end-customers can buy again using return credit before shipping the original items back –at no risk for the merchant. We’ve also built a set of turn-key solutions around our core post-purchase payments platform that includes returns management tools for large scale retailers, as well as hosted and fully customizable end-customer touch-points like order and returns tracking, online returns and exchanges. All these touch-points offer our customers a new way to engage with their shoppers and build brand loyalty.
The next chapter
Our Series A funding will enable us to continue improving on the work we've done. Going forward you’ll see us invest in improving the end-customer shopping experience and re-engagement, enhancing our backend features and extending our platform to integrate with even more reverse logistics, e-commerce, loyalty and CRM platforms.
This new round of funding will also allow us to continue building the Returnly team to expand our product and better serve our customers. We're tackling challenges in ecommerce, payments, fraud prevention, and logistics — all while maintaining an amazing shopper experience. Excited by the challenge? Join us! We’re hiring in San Francisco, Chicago and Madrid.
Lastly, a big thank you goes out to our customers, partners, and investors for all of the support up to now. We’re incredibly excited to continue building Returnly together and can’t wait to show you what’s coming next.