New clothing gifting app GIFTD has raised €535,000 in angel funding.
GIFTD turns unsold brand stock into exclusive marketing giveaways for brands and retailers, allowing users also to give away secondhand items within the platform’s community.
To start a campaign, GIFTD’s customers upload unsold inventory to their profile and share it exclusively with target audiences via secondary marketing channels like Instagram influencers or newsletters to activate new interest groups or reward existing customers. They also use their growing fanbase on GIFTD for further audience acquisition.
Hannah Kromminga, Founder of GIFTD, said:
“Our passion for the gifting economy and sustainability has developed into a product designed to address the global resource crisis with kindness. By shifting our collective perspective, we realise that most of what we need has already been created."
The startup’s first brand clients are the global sportswear brand Fabletics and the streetwear brand Iriedaily.
According to Daniel Klarkowski, New Business Europe at Fabletics, the app not only engages its loyal fans but also builds brand awareness among new audiences.
“By providing a sustainable second life to PR samples, we can reach both groups without disrupting our original sales and communication channels, which turns GIFTD into a unique tool for us.”
Among the angel investors are German family offices Thies Network and quantumReality, member of the Berlin Business Angels Club board, and impact-focused investor and accelerator ULTRA. VC. Ragnarson’s CEO, Maciej Gałkiewicz also supports GIFTD.
With the new EU legislation prohibiting the destruction of unsold consumer goods, brands, and retailers are looking for new circular solutions to distribute residual stock while building lasting customer relationships. GIFTD turns this challenge into a low-cost acquisition tool for loyal customers, with an engagement up to 10x lower than comparable campaigns.
The app is available on iOS and Android and is being developed in Berlin. GIFTD successively launched across Germany in the second half of 2024.
Lead image: Hannah Kromminga, Founder at GIFTD. Photo: uncredited.
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