Sanjay Singh, formerly of Abercrombie & Fitch and Procter & Gamble, will head up a new data-analysis business unit.
Blue Nile also reported that first half sales were up 20% over year-ago and it expects profitability in the fourth quarter.
Blue Nile Inc., online retailer of diamonds and fine jewelry, has closed a $7 million round of venture funding, the company announced today. "This funding round reflects the belief our investors have in the future of our business," said Mark Vadon, CEO. "Blue Nile is on track to build a profitable retail company that will re-define the way consumers buy jewelry for years to come."
In addition, sales at Blue Nile in the first half grew 20% over the first half of last year, the company said, despite an 80% reduction in marketing spending.
Six top venture capital firms participated in the funding round, including Bessemer Venture Partners; Trinity Ventures; Kleiner Perkins Caufield & Byers; Lightspeed Venture Partners; Integral Capital Partners; and Vulcan Ventures Inc. All had previously invested in Blue Nile. Including this funding round, the company has secured a total of $57 million in equity financing, along with a $15 million inventory credit line from GE Capital.
The company also said it will achieve profitability in the fourth quarter.