Korean startup Guhada, which operates an O2O luxury online commerce platform using blockchain, has attracted 8 billion won ($6.1 million) in Series B investment. Korea Investment Partners, Woori Bank, DTNI Investment (DTNI), and BM Ventures participated in this Series B round. Guhada secured a cumulative investment of 13.5 billion won ($10 million) through this investment.
Guhada platform operates as a luxury goods distribution hub connecting local boutiques in Europe, shopping malls of domestic conglomerates, and luxury goods and fashion vertical commerce. Guhada has been supplying luxury goods owned by European boutiques to the domestic market, from high-demand high-end luxury goods to contemporary online products. Guhada has provided goods to more than 100 boutiques. The startup has also recently moved to a new distribution center to increase efficiency in logistics services.
Guhada has recorded remarkable growth in the B2B2C business through interactive data linkage with B2B, a luxury goods sales service between companies. Last year, the total sales of the B2B and B2B2C divisions recorded 8.2 billion won, a 107% increase from the previous year’s 3.9 billion won. The combined total sales recorded 11.1 billion won last year, a 56% increase from 7.1 billion won the previous year.
Guhada’s big data analysis engine, “Watcher Algorithm,” compares and analyzes trends and prices of more than 500,000 products to find an appropriate selling price.
Guhada’s API technology enables two-way data linkage between ‘A local European boutique, Guhada and a large domestic fashion mall. Guhada has directly contracted with more than 50 local European boutiques to link API data. In addition, the number of domestic e-commerce companies that signed real-time linkage contracts with luxury data in the form of B2B2C increased from five in 2021 to 14 last year, including Must It, Trenby, Balan, Hanstyle, and W Concept. Guhada is supplying more than 2 million pieces of data to B2B2C partnership companies.
Guhada was selected as Kibo A+ member of the Korea Technology Finance Corporation in July of last year and was issued a guarantee of 1.5 billion won. It also recently joined the Trade-Related Intellectual Property Rights Protection Association (TIPA) as a member.
Jaeseop Yoon, CEO of Guhada, said, “In the online luxury market, where there was an overheated competition to increase the transaction value, Guhada achieved a gross profit margin of 15% last year by focusing on the role of a B2B agency and B2B2C data linkage model. As it has been verified as a luxury distribution business model that can generate profits, this year, we plan to exceed the break-even point by focusing on operational efficiency based on improved technology and boutique sales power.”
- CJ ENM invests in luxury commerce company ‘Must It’ to create a strategic partnership
- K-Beauty startup SD Networks’ Saint Blanche cosmetics combine skincare with luxury
- Korean startups creating the K-Beauty buzz worldwide
- E-commerce cross-border selling made easier by Korean startup SpurSell