There are only bouquets and no brickbats for luxury flower subscription service H. Bloom. The startup recently raised $4.7 million capital with help from Battery Ventures as well as from angel investors like Brian Lee (of ShoeDazzle and LegalZoom) and Anton Levy (General Atlantic partner and Gilt Groupe board member). The capital infusion spells great news for H. Bloom, which now has accumulated a total of $8 million worth of funds.
H. Bloom, which launched in April 2010, will be looking to use the capital to fund expansion in the luxury flower market. The company’s CEO and co-founder Bryan Burkhart revealed that the $32 billion flower market is poised for innovation. H. Bloom could make all the difference. Already, the company is bringing in a new trend in the area of online floral delivery services by offering subscription plans.
Affordable is the key word here. H. Bloom’s subscription packages start from $30 per flower bundle. Subscribers can avail of deliveries on a weekly, monthly or bi-monthly basis. Apparently, H. Bloom’s prices are 70 percent cheaper than those offered by regular flower boutiques. H. Bloom can sustain these prices because the overall operating costs are lower. While other luxury flower stores have to spend on their stores and window dressing, H. Bloom does not need to do so. Moreover, fewer flowers get wasted at H. Bloom because the company uses the subscription model and requires a 7-day notice for cancellations.
Since its launch last year, H. Bloom has doubled revenues and picked up several high-profile clients. Even real estate biggie Tishman Speyer is a customer here.
Via: Tech Crunch