Money to Buy Up Brands
Berlin Brands Group has gained considerable cash in two rounds during the last few weeks, with which it intends to buy up more brands, so Handelsblatt reports. After 700 million USD from the Bain Group in September, the company has now secured another 100 million from Ardian Capital. Their business model is based on US company Thrasio’s and works like this: If you have a small or medium-sized consumer product brand, you’re faced with a number of challenges, such as marketing, logistics and distribution. One thing you can do to make your life easier is choose the “fulfilled by amazon” service, which means you send your entire inventory to amazon and let them handle everything, even sales on other platforms. A number of cottage industries have grown to fully fledged digital brands this way, although they have no own retail structure. BBG buys up such promising FBA brands and helps them grow even more by handling R&D, production, and even sales to traditional retailers. Successful consumer brands such as Auna and Klarstein have developed this way.