Retail marketing data startup Flagship re-Seeds with fresh $6 million

A Sydney startup tackling visual merchandising for retailer has raised $6 million (US$3.75m) in a second Seed round as it looks to ramp up its presence across the Pacific amid rapid growth in the US market.

US VCs Coreline and Veridical Ventures led the round for Flagship, with support from Tidal Ventures, and Macdoch Ventures, for the retail marketing startup’s ongoing American expansion. 

Flagship previously announced a $2 million Seed round in September 2023 led by Tidal from the VC’s third Seed fund.

Founder Simon Molnar said Flagship has a team to 12 across Australia and the US. with plans to increase headcount another four by the end of 2025, having signed a major partnership with a large US performance apparel brand. 

Molnar knows a bit about retailing, having grown up working in his parents’ jewellery store on weekends at their store before turning his attention to online retail selling Pandora on eBay. He went on to help out his brother, Nick, in a little fintech he built to help people pay for their shopping across four payments, which turned out to be quite popular and made him a billionaire, who in turn, backed his sibling’s idea.

“We’re incredibly excited to be partnered with amazing brands like Peter Alexander, R.M.Williams and Accent Group’s Stylerunner in Australia as well as Vuori, Mejuri and Madhappy in the US,” he said.

“These flagship partnerships underscore the growing demand for our platform in the U.S. market and validates our ability to deliver measurable results for high-growth retail brands globally.” 

Molnar, Flagship’s CEO and now based in the US, said more than 70% of purchasing decisions happen in-store at the moment of sale. His platform creates a digital twin of a store for retailers to optimise product placement while providing automated revenue mapping.

“Visual merchandising has historically relied on manual processes and instinct,” he said.

“Our platform brings data-driven decision making to store optimisation, allowing retailers to maximise revenue while maintaining the creative elements that define physical retail.”