UK-based social shopping app Depop has secured an investment of $8m (£5m) from Balderton Capital (formerly Benchmark Capital Europe) and Holtzbrinck Ventures, and hired Erik Martin, former general manager of Reddit, to lead its US operation.
Founded in Italy in 2011, Depop can be described as 'Pinterest meets eBay'. The app allows users to upload pictures of items they want to sell to their profile page, and build up a personal feed of profiles featuring products they want to buy. Items can them be purchased directly through the app and Depop manages the transaction.
Depop has grown quickly in Europe, striking a chord with Millennials, and in particular fashion bloggers. Its app reached 1.8 million downloads in 2014, and the company currently sees well over a million new products added for sale each month.
Depop already has a 'satellite' office in the US, but the company said it will use the new funding to set up a permanent New York office.
"Depop has grown faster than we ever imagined, not just in Europe, but also in the US. With this latest round of investment, we are now in a position to meet this growing demand," said Runar Reistrup, CEO of Depop.
"US users are already adding 100,000 items to Depop each month and as a result, opening an office in New York was something we really wanted to do."
Mr Martin, who was named as one of Time Magazine's '100 Most Influential People in the World' in 2012, and oversaw Reddit's growth to more than 6 billion pageviews a month, has been hired to head up the US operation.
"There's something special about Depop. It's more than just a fun buying and selling app; it's a playful and evolving community," he said. "What happens when you help everyone create their own pop-up shop and connect with each other? I don't know, but it's going to be fun to find out."