The Wanderlust Group, a startup headquartered in Rhode Island and specializing in software solutions for the boating industry, has announced the successful completion of a $14.2 million Series B funding round this week. The investment was led by Allen & Company and the Alaris family office. (Post updated to amend investor list after publication.)

Prior to this funding round, Wanderlust had already secured $13.1 million in investment, meaning this new Series B represents a larger capital influx than all previous funding combined.

According to Mike Melillo, Wanderlust’s Chief Executive Officer, a significant portion of the company’s initial team was comprised of former senior leaders from HubSpot. This background facilitated the raising of capital in earlier rounds of $2 and $3 million before reaching the Series B stage. The CEO also stated that the company was initially aiming to raise $7 million and was on a trajectory toward profitability.

Increased demand resulted in a larger funding round, providing a substantial boost to the Newport-based startup’s financial resources.

Currently, The Wanderlust Group operates through two primary divisions: Dockwa, a comprehensive software platform for marinas enabling them to manage all aspects of their business, from attracting customers to daily operations. Additionally, Wanderlust acquired Marinas.com in 2017, a classifieds platform for marinas which the company positions as the “world’s #1 searchable marina directory.”

Dockwa’s marina software solutions range in cost from just above $1,000 annually to $30,000 for larger and more intricate operations.

The company has outlined plans for expansion, and the newly acquired capital will likely be instrumental in achieving these goals. Wanderlust intends to extend its reach beyond the marina and boating sectors into the RV market, a move encouraged by existing Dockwa customers.

Melillo explained that the company observed some customers adapting the boating software to accommodate RV rentals, a service offered by certain marinas. This customer behavior provided a clear indication of market demand and potential product direction. (The company’s About page suggests a possible name for the future RV product: “Campouts.”)

The Wanderlust Group is pursuing a vertical SaaS strategy, targeting a market often characterized by outdated technologies or a general lack of technological integration. Implementing software solutions can streamline marina operations, facilitate increased boat bookings, and simplify berth reservations for boaters, ultimately enabling more frequent trips.

This aligns with Wanderlust’s overarching objective, as described by Melillo, which is to encourage greater outdoor activity. The pandemic has notably contributed to this goal, with the CEO noting to TechCrunch that COVID-19 has spurred increased participation in boating among younger demographics, such as millennials. He also highlighted a recent trend of a decreasing average age among boat purchasers, reversing previous patterns.

With plans to broaden its scope from marine to terrestrial recreation, and with an interest in international markets – Melillo informed TechCrunch that Australia and New Zealand represent promising RV markets – The Wanderlust Group appears well-positioned to inspire more people to spend time outdoors.

Notably, the fully remote startup has implemented a unique company culture that eliminates formal workdays on Mondays. Meetings are prohibited on Mondays, and employees have the flexibility to work or take the day off as they see fit. This policy is rooted in the fact that many employees reside in coastal towns – areas with marinas – where Mondays typically experience lower tourist activity, providing an ideal opportunity for personal enjoyment. Consequently, Wanderlust designates Monday as a day for employees to recharge and pursue activities outside of work, with minimal interruption.

According to Melillo, this approach has resulted in more productive Tuesday meetings and, presumably, improved employee retention.