Brightpearl, a digital operations platform startup, wants to make it easier for businesses to manage the essentials and grow, all in one place. The platform allows users to track inventory, order management, warehousing, fulfillment, shipping, purchasing, accounting, supplier management, and retail business intelligence, all in one place.
Investors are seeing the value in this startup’s offering. The company recently raised a whopping $33 million in Series C funding. The funding round was led by Sage, a venture capital firm based in Los Angeles. Beyond Sage’s $23 million contribution, other firms Cipio Partners, Notion Capital, and Verdane invested an additional $10 million.
Because of Sage’s sizable contribution, the firm will now hold a spot on Brightpearl’s board.
“Together, Sage and Brightpearl will help retail and [ecommerce] customers take advantage of best-of-breed cloud finance and retail management solutions, supporting them on their digital journey,” Sage said in a statement. “The partnership with Brightpearl is consistent with Sage’s broader strategy to invest in complementary high growth cloud-based software applications.”
What makes Brightpearl particularly intriguing to investors, one has to imagine, are its previous successes. The startup’s partnerships with online retail behemoths Amazon, eBay, and Shopify lend credibility to the website and likely played a crucial role in the decision of these firms to invest.
Derek O’Carroll, Brightpearl’s chief executive officer, spoke highly of Sage and said he was excited to see the good that would come for consumers through the partnership.
“We are delighted to build this new relationship with Sage to further support our retail customers and accelerate the strong presence that Sage and Brightpearl have in the UK and US,” O’Carroll said. “Brightpearl’s solution brings significant benefits by automating retail processes so global merchants can save time and deliver outstanding and rapid end-to-end customer experiences.”
The Growing Digital Transformation Market
The numbers suggest that Brightpearl is moving in the right direction and is part of a growing market. The digital transformation market, which encapsulates all products intended to facilitate a productive presence online for businesses, is growing at a compounded annual rate of about 22%, according to market research firm Meticulous Market Research.
This means that the already large market will grow much larger by 2025, reaching a valuation of nearly $3.3 billion. This growth, Meticulous Market Research says, is due to the growth of adoption of different Internet of Things devices, the popularity and numerous applications of artificial intelligence applications, and the ever-present need for increased productivity in businesses of every description.
The greatest share of companies employing digital transformation technologies like Brightpearl is in the United States, followed by Asia and Europe, so it makes sense that American Sage wants to invest in UK-based Brightpearl. It’s likely that the fusion of these two leading regions in the market will bring about a successful partnership.
The Importance of Digital Operations Platforms in Bringing About a Positive Customer Experience
Beyond simply maximizing efficiency for the company itself, digital operations platforms like Brightpearl also add value for consumers. In an article titled “Beyond ERP: How Digital Operations Platforms Make Or Break The Customer Experience,” Liz Herbert, Vice President and Principal Analyst of Forrester, a research firm, argues this very point.
“[This] new generation of products promises to reinvent ERP by providing high innovation, easy ability to adapt to your business needs, and AI embedded in every major business process,” she said. “These next-generation digital operations platforms (DOPs) — spanning finance, customer operations, supply chain, product, and people/talent — play a critical role in powering modern business and delivering customer experience.”
By merging with a powerful venture capital (VC) firm, Brightpearl is paving the way to becoming an important part of this growing industry.
About the Author
Elijah Labby is a graduate of the National Journalism Center. He has previously written for Broadband Breakfast, a technology and internet policy website.