BloomThat, an on-demand flower startup, has sold itself to flower giant FTD , Axios reports . FTD, which offers same-day delivery flowers for a variety of occasions, reportedly paid a small amount of money for the startup. Prior to this reported acquisition, BloomThat had raised $7.5 million from investors like Rothenberg Ventures, Forerunner Ventures, Sherpa Capital and others, with the most recent round in April 2015.
In February 2016 , BloomThat launched its flower delivery service nationwide. But instead of offering delivery within a couple of hours, BloomThat guaranteed next-day delivery, which effectively moved the startup into the territory of 1-800-FLOWERS and FTD. Unlike many other on-demand companies, BloomThat relies on three key services for its deliveries: FedEx, UPS and Deliv. Before tapping FedEx, UPS and Deliv to handle the actual deliveries, BloomThat managed their own deliveries and owned the logistics from end to end, BloomThat co-founder Matt Schwab told me a couple of years ago. By changing the logistics around delivery and implementing delivery fees, BloomThat’s burn rate dropped from $560,000 to $15,000 a month. I’ve reached out to both BloomThat and FTD. In the meantime, check out this interview with Schwab. [tc_aol_on code=”519486842″]
