Utah’s Pattern, an online home and lifestyle company, is an amazing success story. The company has gone from selling fridge magnets to a $2 billion valuation in just over three years. The ride has been tumultuous, but Pattern’s founders have consistently made the right decisions to ensure their success.
Let’s learn more about Patterns incredible rise and success.
From fridge magnets to $2 billion valuation, Utah’s Pattern is crushing it
Founded in 2017 in Salt Lake City, Utah, Pattern is an internet retail company that offers products at unbeatable prices. The company’s founders, Trevor Robinson and Joe Hollander, had big dreams when they started selling refrigerator magnets from a rented commercial space.
Today Pattern has grown into an online retailer with 2 million customers and has achieved a valuation close to USD 2 billion. They now offer a wide range of products including furniture, electronics and women’s fashion.
This incredible growth has been attributed to the company’s unique business model which allows it to offer unbeatable low prices while maintaining quality customer service. It also uses technology to streamline its operations and provide better customer experiences.
Pattern’s success story is inspirational for any aspiring e-commerce entrepreneur who wants to make it big online. With their innovative business model and focus on providing excellent customer service, Pattern continues to provide customers with what they need at unbeatable prices.
It all began just 15 years ago, when brothers Shane and Chris Newbold started selling fridge magnets out of their basement in Utah.
Pattern’s humble beginnings served as a launching pad for the billion dollar company it has since become – with a 2 billion dollar valuation.
This article will analyse the incredible journey of the ecommerce and design powerhouse, from its early days selling magnets to its success today.
Pattern’s beginnings as a fridge magnet business
Founded in 1997 by two entrepreneurs in Utah, Pattern started as a manufacturing business for fridge magnets. Knowing their limited resources and the difficulty of manufacturing overseas, the founders realised that utilising their shared skill set and local sources would be key to success.
They used local resources and kept overhead costs at a minimum by upcycling books donated to libraries to create art kits and educational materials. This creative idea put Pattern on the map and led them to produce magnets featuring amazing historical artefacts, faux animal skulls, customised super heroes, pop culture figures, and retro art. Their products became enormously popular throughout North America and Europe in more than 1,000 stores.
In 2009 they decided to shift course towards a purely digital model by creating applications for accessing pattern’s library of designs. This move allowed the company to optimise its process with real-time data metrics being used—and it paid off: what was once “just” a success locally blossomed into a thriving global business capable of increasing its user base exponentially overnight. Not surprisingly – Pattern experienced rapid growth following this change with revenue reaching 500 million within 5 years —bringing this humble DIY start-up through its transformation into an entrepreneurial powerhouse worth more than 2 billion US dollars today!
The importance of family and community
The origin story of Pattern, a headless e-commerce platform recently valued at over $2 billion, starts with co-founder Jaron Pall ‘s family and the tight-knit Draper community in Utah.
Jaron was born and raised in Draper, Utah and his parents ran a local fridge magnet-making business. For years, Jaron dreamed of developing new ideas to make the business more dynamic. He started playing with code when he was about 15 and soon realised he had found his true passion.
Inspired by what his parents were teaching him about business and hard work, Jaron knew that he wanted to start creating projects and products to help out the people of his community – starting the journey that would ultimately lead him to creating Pattern.
Jaron’s vision for Pattern stemmed from the fact that very few businesses back then had an efficient way of selling online without needing to commit resources like money or people-power towards constructing a website or e-commerce store. The idea of making accessible software solutions filled a gap in the market – solutions that small businesses could use on any budget and larger enterprises looking for value and scalability in their software projects.
Today Pattern is changing commerce in groundbreaking ways. Still, its salt-of-the earth origins keep it firmly grounded — a lesson on how strong family values combined with business acumen can push one person’s dreams forward far past what they ever expected possible.
Growth and Expansion
Pattern, a Utah-based home decor company, has seen tremendous growth over the past several years. From selling fridge magnets, to a $2 billion valuation, Pattern has left its mark in the home decor industry. The remarkable story of how Pattern achieved such growth and expansion from such humble beginnings is worth looking into.
Let’s take a deep dive into Pattern’s growth and expansion strategies.
Pattern’s move into online retail
In 2012, Pattern recognized a massive opportunity in online retail when they moved their operations onto the web. With this shift, they were able to focus on delivering better customer experiences and more personalised services. This dramatically increased their reach and allowed them to tap into broader markets that traditional retail stores wouldn’t have had access to. Pattern also simplified the purchasing experience, making it easy and convenient for customers to buy the needed products.
To further enhance their services and provide customers with a more seamless experience, Pattern implemented various technological advancements such as improved checkout processes and same-day delivery in certain areas. In addition, they heavily employed machine learning algorithms to accurately personalise recommendations for each customer based on their past interactions with Pattern’s website. So incorporating these features became an essential part of their success that Google Venture’s partner Karim Faris said: “Pattern has used advanced machine-learning techniques to create amazing experiences for customers.”
Pattern’s strategic moves have proven successful as online sales have skyrocketed over the last 8 years. The company is now valued at over $2 billion due to its innovative approach in modern retail marketing.
Expansion into new markets
Pattern has made rapid strides over the years expanding into new markets to great benefit. After their success in the United States, they began looking outward. At first, this meant making strategic partnerships with companies in Europe and Asia. This was followed by entering new international markets like India, Russia, and China. With each expansion step, Pattern attracted new investors and saw a significant increase in their customer base and revenue growth.
Partnerships with local companies have been instrumental to Pattern’s success in these new markets. Not only do they provide valuable insights on regulatory necessities and the local buying habits, they also provide marketing strategies that have better resonated with target audiences compared to the marketing efforts used in previous markets. In addition, this localised approach has allowed Pattern to differentiate its product offerings while still holding onto its core values of quality and sustainability – cementing loyalty in these new markets.
Throughout this expansion process into new regions, Pattern’s continued commitment towards global online payments solutions has seen them create a network of payment networks today that stands good for a global digital commerce network for their partners. The unique capabilities developed by Pattern along with integrations made through partnerships strived to ease checkout processes for both customers and merchants alike – making it easier for merchants to gain access wider opportunities available worldwide which is essential for scaling up operations as well as providing customers low cost access regardless of border obstacles such as currency adjustment or language barriers helping create smooth cross-border transactions allowing more customers globally access products from different parts of the world securely increasing profit margins tremendously bringing us back to how far Pattern has come from selling fridge magnets.
In a remarkable turn of events, Utah-based Pattern has gone from selling fridge magnets to becoming a multi-billion dollar valued company.
This inspiring story of the company’s financial success covers the transformation journey from a small enterprise to a billion-dollar powerhouse. So let’s dive in and see how they did it!
Pattern’s $2 billion valuation
In 2016, Utah-based startup Pattern was valued at $2 billion. This incredible growth marks a sharp rise for the company which began as nothing more than a small side hustle selling fridge magnets. Founder and CEO Nathan Wirth attributed the company’s rise to its focus on creating valuable and marketable products for customers around the world.
With nearly a decade under its belt, Pattern has become one of Utah’s most successful tech startups with customers in over 132 countries worldwide. The company started as an e-commerce business selling custom fridge magnets before diversifying into other products like apparel and home decor. Pattern’s focus on delivering value resulted in an annual revenue of over $80 million by 2019, contributing significantly to their incredible valuation of $2 billion in 2016.
Today, Pattern continues to grow by offering new solutions for modern lifestyles like advanced virtual shopping experiences designed to fit customers’ budgets. The company has plans to expand into new markets and regions around the world, aiming to become the leading technology firm providing lifestyle goods to people everywhere. With its strong commitment towards customer service and value creation, it looks like Nathan Wirth has every reason to feel confident that this venture will become even bigger over time: from simple fridge magnets to a $2 billion valuation–the story of Pattern is certainly an inspiring one!
Impact of venture capital
Venture capital has been critical to Pattern’s success, beginning with its initial seed funding round of $1.7 million in 2013-14. This was followed by Series A and Series B rounds that brought in $9 million and $20 million, respectively. Pattern then completed a Series C round in 2016 at a valuation of $180 million, leading to the company’s acquisition of a prominent Utah software development firm, BigML.
Further investments from venture capitalists have allowed Pattern to become one of the most valuable companies in the tech realm, reaching a peak private valuation of $2 billion after its Series E funding round raised an additional $100 million in 2019-2020. The influx of resources from venture capitalists enabled Pattern to build out its team, improve existing products and services, and develop new initiatives that have allowed it to become one of the industry leaders today.
Venture capital continues to be an integral part of Pattern’s business model going forward; recent large post-IPO investments by D1 Capital Partners have helped keep the company on track for continued growth as it looks toward public offerings on Nasdaq or London Stock Exchange later this year.