Birchbox

Birchbox was established in September 2010[2] by Katia Beauchamp and Hayley Barna, both graduates of Harvard Business School.[3] In October 2010, Birchbox's initial funding began with $1.4 million in seed funding from investors including First Round and Accel Partners.[3]

In August 2011, Birchbox received $10.5 million in Series A Funding.[4]

In April 2014, Birchbox raised $60 million in Series B funding, led by Viking Global Investors, and saw participation from First Round Capital, Accel Partners, Aspect Partners, and Consigliere Brand Capital. In July 2014, Birchbox opened its first brick-and-mortar store in New York's Soho neighborhood.[5] As of 2014, the company was valued at $485 million.[6][7]

As of May 2019, Birchbox has 230 employees.[8][9] In 2015, co-founder Hayley Barna stepped down from the co-CEO role at the company and is joining the First Round Capital firm as a venture partner.[10] In January 2016, the company cut 15% of its staff. As of May 2018, it had raised a total of almost $90 million in funding.[11] In October 2018, a minority stake in Birchbox was purchased by Walgreens, with Birchbox to open in Walgreens stores initially 11.[12]

As of Jan 2021, Birchbox has 300 thousand subscribers and 800 thousand active customers. Birchbox's incentive is that the consumer will choose to purchase the full-sized product of whatever sample they've grown to like from the Birchbox website afterward.[13] As of 2021, about 5% of box subscribers went on to make full-size purchases.[14]

After subscribing, the customer takes a survey called a "beauty profile" that aims to customize their future selections to better suit their preferences.[15]

Birchbox points are awarded for purchasing full-size versions of products (both online and in-store), through the referral of others, and purchasing subscriptions as gifts to others. Until July 2016, subscribers could earn points by reviewing each product in their monthly box. From that month on, subscribers will receive points for their first five product sample reviews only.[16]

The Aces loyalty benefit is earned by spending $300 in one calendar year. Once this level is achieved the member earns points at a higher level along with the benefit of free shipping on orders.[17]

In October 2014, Birchbox partnered with Soldsie to launch its first Instagram shop. The shop allows Instagram users interested in Birchbox products to purchase directly through Instagram by leaving a comment on a photo with the hashtag #birchboxcart.[18]

• Online Retail

• Official website