Inside Whatnot: From 2019 to Now Into a $485 million business
Startup Type:
Headquarter: Marina del Rey, USA
Current Status: Active (private; expanding into more collectibles categories)
Founders: Logan Head, Grant LaFontaine
Founded Year: 2019
Investors: Andreessen Horowitz, YC Continuity, CapitalG
Funding Raised: $485 million
What Is the business model of Whatnot?
Live-streaming e-commerce platform that enables collectors and hobbyists to buy and sell items (like trading cards, sneakers, toys) via live auctions on a mobile app, taking a transaction fee on sales
How Whatnot got started?
Launched in 2019 initially focusing on Funko Pop collectibles, Whatnot pivoted to a live auction format inspired by the success of QVC and game streaming, sellers live-stream themselves showcasing items while bidders compete in real time through the app
what growth strategy has Whatnot followed?
Grew explosively during the pandemic-fueled collectibles boom by targeting passionate communities and giving power-sellers a new, interactive way to sell, leaned on influencer sellers and social media buzz to onboard millions of users and raise successive large funding rounds
what are the top products/features of Whatnot
Whatnot live auction app, community chat and following features, buyer protection and verification services
what was the biggest challenge faced by Whatnot?
Maintaining a fun, engaging community while scaling categories beyond early adopter niches, and ensuring trust/safety in payments and authenticity in a live-auction environment where impulse buys happen quickly