A New Funding Round led by Cleveland Ave, with participation from a16z, Goldman Sachs Asset Management
OAKLAND, Calif., July 13, 2022 /PRNewswire/ -- Mayvenn, a beauty-tech company with a network of over 50,000 hair stylists nationwide, announced a $40m Series C round led by Cleveland Ave, with participation from the Growth Equity business within Goldman Sachs Asset Management and a16z. Mayvenn's mission is to use technology to empower the professional stylist community. The Mayvenn platform enables stylists to earn money selling beauty products and over the past two years has expanded into a marketplace, offering salon services through its curated network of beauty pros. The services marketplace, combined with the e-commerce platform, lay the foundation for an end-to-end beauty ecosystem encompassing services and products. This unique offering financially empowers the professional beauty community and is simplifying the beauty experience for customers. This Series C round of funding will go towards Mayvenn's next big expansion of its ecosystem - an unprecedented partnership with Walmart to bring tech-enabled, physical beauty experiences into Walmart's across the country. Funds from this raise will also support the continued expansion of Mayvenn's digital platform into more productivity tools for stylists.
Customers can currently find Mayvenn Beauty Lounges inside 5 Walmart's in Texas. These spaces are both retail shopping experiences for buying hair extensions and wigs, and are virtual booking centers, where customers can digitally browse local Mayvenn network stylists and book salon services. The stores generate both product sale revenue, as well as marketplace salon services revenue. These retail experiences will be heavily augmented with technology and are the first elevated beauty shopping experiences that are truly inclusive to women of color. With plans to expand these Beauty Lounges to 400 Walmart locations, this omni-channel strategy will bring immense scale to Mayvenn's brand and platform, while driving income to tens of thousands of local hair stylists and small salon businesses.
"I couldn't be more excited to partner with Walmart to bring Mayvenn's brand and platform into the real world," says Diishan Imira, CEO and co-founder of Mayvenn. "These Mayvenn Beauty Lounges are more than retail experiences - they drive digital bookings to local small salon businesses, bringing them added income, which is core to our mission. This expansion has the potential to elevate the beauty shopping experience for millions, while also scaling the financial impact to the community. The possibilities are endless from here."
"Mayvenn aims to deliver a first-class beauty experience for women by partnering with stylists and delivering unprecedented economics to these important entrepreneurs," said Ben Horowitz, cofounder and general partner at Andreessen Horowitz. "The Walmart relationship moves the transaction from the virtual to the physical world and dramatically expands Mayvenn's reach. We believe they are now poised to become a top brand in women's beauty."
Cleveland Ave, founded by former CEO of McDonalds, invests in Retail Technology, and brings immense value to the partnership through its internal consulting firm "Edge Consulting," which specializes in retail operations, and has valuable experience working with Walmart. Mayvenn has attracted some of the most prestigious and strategic investors in technology, including a16z, and now by partnering with Cleveland Ave has brought a new dimension of expertise to the business. The investment is additionally part of Goldman Sachs' One Million Black Women initiative, a $10 billion commitment to narrow opportunity gaps and impact the lives of Black women over the next decade across key pillars including job creation and workforce advancement.
Hillel Moerman, managing director within Goldman Sachs Asset Management, said, "In addition to innovating the beauty industry, Mayvenn is creating economic opportunity for independent stylists, who are primarily women of color. We believe that Mayvenn's omni-channel approach, combined with its direct financial impact on local communities, embodies the goals of our One Million Black Women initiative and we look forward to continuing to collaborate with the Mayvenn team as they scale their business.
"Supporting diverse businesses is a priority for Walmart," said Darryl Spinks, Sr. Director, Walmart Services. "Innovative businesses like Mayvenn bring a fresh perspective to a segmented industry. They are making products and services more accessible while also giving other small business owners an opportunity to grow. We're excited to offer this experience to the community while collaborating with Mayvenn as they grow."
"Mayvenn is a leading innovator in the beauty industry. The Company has a thoughtful and profitable business strategy that also supports diversity, access and entrepreneurship. Cleveland Avenue is thrilled to partner with Mayvenn's leadership team and support brand expansion into retail outlets including the Company's recent partnership with Walmart," said Dr. Mingu Lee, Managing Partner, Cleveland Avenue Tech Fund.
For more information, please visit https://shop.mayvenn.com/.
Founded by Diishan Imira in Oakland, CA in 2013, Mayvenn is the first venture-backed beauty tech company enabling beauty professionals to increase their earning potential. Growing up with hair stylists in his family, Diishan witnessed their impact on his local community, as well as their lack of equity in the industry and how underserved they were technologically. Mayvenn offers both an e-commerce tool and a marketplace for salon services, driving new clientele to its stylists. To date, Mayvenn has paid out over $35m to the more than 50,000 hair stylists in its network, nationwide.
Mayvenn's end-to-end digital salon and omni-channel hair shopping platform, proves high-quality hair products and salon services are game changing for both stylists and their clients. In partnership with Walmart, Mayvenn's new Beauty Lounges offer clients a new way to buy, with free consultations, in-store shopping, and the ability to book hair appointments with any Mayvenn certified hairstylist in their area.
Mayvenn has raised $76 million in venture funding from Andreesen Horowitz, Essence Ventures, Goldman Sachs Asset Management, SB Opportunity Fund, Serena Ventures, and other notable investors.