Citrus Lane Raises $5 Million for Monthly Care Packages for Moms and Kids

Citrus Lane, which offers subscribers a monthly care package aimed at mothers and babies, has raised $5.1 million in a first round of funding.

Investors participating in the round include GGV Capital and Greylock Partners. The Mountain View, Calif., company said it will use the money to expand and hire additional employees.

Business models like Citrus Lane’s are getting pretty popular. Members sign up for a monthly subscription and get a package of products in the mail based on a particular theme.

My colleague Lauren Goode recently wrote about how Birchbox.com was branching out from sending beauty products to women to sending grooming products and consumer-tech gadgets for men. And, there are plenty of apparel companies that are also trying out the model, including Shoedazzle.

Citrus Lane’s box costs $25 a month, and offers two different versions — one for pregnant women and another for young children and parents. Contents include four to five items based on the child’s age — newborn to three years old — and include toys, snacks and other activities.

Citrus Lane Announces $5.1 Million Series A Funding from GGV Capital and Greylock Partners

Helps Parents Discover ‘Best Of’ Products For Little Ones

Mountain View, CA (April 25, 2012) – Citrus Lane (www.citruslane.com), a subscription e-commerce site that is focused on getting useful, developmentally appropriate and delightful products to young families, today announced that it has raised $5.1 million in Series A funding from GGV Capital and Greylock Partners. The company will use the funds to continue to expand its business and add critical new hires.

Each month, Citrus Lane members receive a care package of four to five “best of” products based on their child’s age for $25 per month. Citrus Lane curates its recommendations from partner brands such as Green Toys, Weleda, Zoli and Episencial.

All products are vetted by real moms. Citrus Lane also provides members with monthly editorial tips and insights and an active, vocal Facebook community of moms.

Founders Mauria Finley and Claire Hough are former executives of companies such as eBay, PayPal and NexTag that defined the first generation of Internet commerce companies. Citrus Lane combines a new generation of ecommerce with a social experience to provide a vibrant online community as well as a distribution platform for its partner brands.

“We’re building a company that helps moms – and dads – discover the best products for their babies and toddlers with the help of a trusted resource,” said Mauria Finley, founder and CEO of Citrus Lane. “We’re thrilled to have the support of Greylock and GGV Capital – they understood our business from the start and will be important partners as Citrus Lane continues to grow.”

Citrus Lane raised a seed round of financing in March 2011 and shipped its first boxes in July 2011.

“Citrus Lane is all about customer engagement. Build-and-grow models like Citrus Lane that focus on great service and consistent, long-term
word-of-mouth growth create the best opportunity for sustained growth,” said Jeff Richards, Partner, GGV Capital and new Citrus Lane board member. “We’re excited to be working with the company and look forward to working with them as they become the leader in subscription commerce.”