Etsy, the online marketplace for handmade and antique items and crafts, purchased Depop, the British social shopping app, for $1.6 billion this week.
Etsy has grown from a little e-commerce platform for handmade trinkets and one-of-a-kind presents to a multibillion-dollar e-commerce behemoth, with revenues increasing 111 percent last year and a net profit of $350 million. Fresh off of the pandemic's business boost, Etsy plainly wants to get a footing with the younger demographic, which buying Depop provides them with instantly.
With Gen Z consumers more concerned with sustainability and the environmental effect of their purchasing habits, Etsy appears to be an ideal home for Depop.
Source: Etsy SEC Filings, chartr