Social Shopping Company Raises New Capital

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With national flash sales sites having developed enormous popularity, local online shopping services have inevitably arisen. Ideeli provides a members-only online retail community for the biggest shopping market of all ā€“ New York City.

The company just raised $41 million in a third round of funding. The new money is targeted to support growth and expansion for offering new product categories. Ideeli also is planning to add partnerships with local retailers as well as implement technology initiatives and marketing campaigns with additions to staff.

Ideeli is the leading site in the city for fun and engaging daily shopping experiences. Its daily deals encompass apparel, accessories, household goods, travel, and personal services at very low member prices. Sales last for 40 hours or until sold out. Members access details about upcoming sales events via email, Facebook, Twitter, or the Ideeli website.

Ideeli boasts 4 million users as of 2011. The company was founded in 2007 with $3.8 million of capital. It has raised a total of $64.8 million with the latest funding. Online shopping is drawing plenty of investor interest because of the multi-billion dollar valuations placed on Groupon and LivingSocial. The main competitor of Ideeli for local deals is Gilt Groupe, which is also believed to have raised $100 million from private investors.