Rakuten, a Japanese e-commerce firm has confirmed a deal to acquire a 100% stake in fit preference specialist Fits.me, London-based fitting room startup. This another acquisition to expand its holdings has been made in the area of fashion.
The acquired startup Fits.me that develops virtual fitting rooms was founded in Estonia and now head-quartered in London. The virtual fitting room has two-way technology allowing the online buyers to visualize something how these items might look on them. This tool allows retailers to collect more information about the preferences and interests of visitors to their sites and also offers personalized touch.
With the acquisition of the innovative startup, Rakuten expects to boost its e-commerce offerings more and marketing solutions by presenting a greater personalization of the retail experience for shoppers while improving the efficiencies for the retailers. since its launch in 2010, the technology has changed the way how people shop for big brands like Thomas Pink, QVC and Pretty Green. It has helped the customers take better decisions regarding the clothes online.
Rakuten has planned to run Fits.me as a standalone business, where it will continue to develop its technology, expand its business and work with the prevailing customers. James Gambrell will stay as the CEO of the 65-person company, which still lists co-founders Heikki Haldre and Paul Pallin as active employees.
“Fits.me represents both the fun and functionality of shopping online and is a natural complement to our growing portfolio of e-commerce and marketing services,” said Rakuten founder and CEO Hiroshi Mikitani. “Not only does the virtual fitting room provide customers with a more realistic shopping experience, it also empowers merchants with the valuable data they need to continually improve their service.”
Gambrell said, “Rakuten built its business by empowering merchants and brands to deliver authentic and engaging shopping experiences, which is exactly the vision of Fits.me. We are excited to join Rakuten with its leading e-commerce marketplaces and cutting edge marketing services platform Rakuten Marketing, as we build out our ambitious product plans and accelerate our planned growth in Europe, The USA and now Asia.”He also added, ” It is the right partner. Rakuten is on the lookout for ways to be creative to achieve success. We help connect the dots by providing value to different parts of the organization.”
The acquisition seemed to have happen two weeks ago, but neither company would comment on it. Rakuten has been on a buying and acquisition spree in the last few months. Less than two weeks ago, Rakuten bought a majority stake in offbeat tour operator Voyagin, based in Tokyo and Singapore, keeping the 2020 Olympics in mind. IT also acquired OverDrive, a US-based e-book marketplace, to help its struggling Kobo business.