Flieber Raises $12M to Optimize Retail Inventory

Flieber Secures $12 Million to Revolutionize E-commerce Inventory Management

Flieber is dedicated to empowering e-commerce businesses by allowing them to refocus on their core competency: sales.

The New York-based firm recently announced a $12 million Series A funding round. This investment will fuel the continued development of its inventory optimization platform.

Funding Details and Company History

This funding round was jointly led by GGV Capital and Monashees, bringing the company’s total raised capital to $20 million.

Flieber was co-founded in 2019 by CEO Fabricio Miranda and CTO Jair Vercosa.

Prior to founding Flieber, Miranda successfully established and sold a water treatment company in Brazil. He later gained experience within the U.S. financial sector at a hedge fund.

From Amazon Seller to Inventory Solutions Provider

Miranda shared with TechCrunch that the company’s predictive platform provides users with control over sales, supply chain operations, and inventory decisions. This ensures they can effectively manage sales volume and avoid both overstocking and stockouts.

His journey began while at the hedge fund, where he connected with an individual launching an Amazon store. This sparked his interest, leading him to become an Amazon seller himself.

His venture quickly became a top-performing seller, providing valuable insights into the dynamics of online retail. Subsequently, he launched several supporting businesses, including an advertising platform and a financing service, ultimately leading to the creation of Flieber.

Optimization vs. Management: A Key Distinction

“E-commerce entrepreneurs enjoy selling, but often find themselves dedicating 80% of their time to operational tasks,” Miranda explained. “While marketplaces have simplified selling, the underlying processes remain outdated.”

He clarified the difference between inventory optimization and inventory management. Optimization ensures the correct inventory levels are maintained to meet demand, while management focuses on tracking current stock levels.

Optimization provides intelligence for decision-making, automation, and supply chain enhancements, guiding retailers on the most effective course of action regarding their inventory.

The Cost of Stockouts and Overstocking

A common challenge for retailers is frequently running out of popular items while simultaneously being overstocked on slower-moving products. This results in lost sales opportunities and tied-up capital.

How Flieber's Technology Works

Flieber’s technology leverages data to forecast product demand. For example, it can predict sales quantities and alert retailers to place orders by a specific date to ensure availability four months later.

The system continuously monitors sales trends, enabling retailers to adjust manufacturing or sales strategies accordingly.

“We constantly project your inventory needs and provide guidance for new product launches,” Miranda stated. “If a retailer’s product resembles another, our system can also predict its potential sales performance.”

A "Blue Ocean" Opportunity

Miranda believes that no other company is addressing inventory optimization with a comparable approach, presenting a significant market opportunity. He anticipates a consolidation within the online retail landscape, with a shift back towards offline channels.

This evolution will diminish the prominence of being solely “an Amazon seller,” as retailers will increasingly focus on reaching consumers wherever they are, thereby increasing inventory complexity.

Current Traction and Future Plans

Since its inception, Flieber has onboarded clients selling in 15 countries, managing over 400,000 products on its platform. The system has processed more than 20 million sales orders and performs over 500,000 calculations daily.

The new funding will be allocated to accelerating growth, enhancing data capabilities, expanding the team with data scientists and engineers, and improving its APIs.

As part of this investment, Monashees will be joining GGV on Flieber’s board of directors.

Carlo Dapuzzo, partner at Monashees, commented, “Marketplaces have simplified product sales, but the processes preceding inventory readiness remain complex. Flieber’s commitment to democratizing this aspect of retail is crucial for the industry’s future.”