A new round of funding may soon push Wish.com’s evaluation to $3 billion. The website, which reportedly has over 50 million users, is currently in the process of raising fresh capital, according to sources.
The San Francisco, California based company utilizes a Pinterest-like interface that uses algorithms and big data to provide users with a customized retail experience. The mobile app lets users “buy or save” products presented in an array of images. Depending on customers’ choices, the app utilizes the data to provide a customized experience.
The company, which was launched in 2010 by former Yahoo employee Danny Zhang and former Google employee Peter Szulczewski was evaluated roughly around $400 million in June 2014, The Wall Street Journal reported.
The fast growing popularity of the mobile shopping app has regularly ranked it among App Annie’s list of top 100 iPhone apps. Their recent round of secured funding has been seen as a proof of scope of growth in a crowded environment, which is dominated by giants like Amazon and eBay.
Products sold on the app are bought directly from the merchants, thereby enabling higher discounts. The company charges retailers a swift 15 percent transaction fee.
With Pinterest’s 70 million monthly visitors and $11 billion evaluation, Wise might very soon face stiff competition from Pinterest, which has been testing a “buy now” button that is expected to be released sometime this year.
The app secured a $50 million investment last year from Yahoo Co-Founder Jerry Yang, Founders Fund, GGV Capital and Formation 8 among others.
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