Amazon’s Key to Beating Groupon in the Daily Deals Space Is Its 164 Million Paying Customers

Amazon’s online catalog offers millions of everyday items for sale, but how many consumers think of visiting Amazon to buy a meal in a restaurant or a haircut at the local salon?
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News Byte

An Online Marketplace for Everyday Household Items Snags $3.6 Million

Alice.com, an online marketplace for household goods ranging from diapers to dog food to toothpaste, has raised $3.6 million in funding. A bit like Amazon-owned Diapers.com, the Middleton, Wis.-based company allows big brands to use the platform to connect with consumers and offer coupons. The round, coming from a group of Spanish investors, closely follows Alice’s expansion to Europe through Alice.es. The company has raised $18.2 million to date.

Plum District Scores $20 Million and Buys Two Companies for Mom-Focused Daily Deals Site

Plum District, which relies on a salesforce of moms who acquire local discounts targeted at other mothers, has raised $20 million in venture capital and acquired two companies.
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Lot18 Turns Wine Into Wine Country Excursions

Lot18, which offers wines online for a discount, is expanding into travel deals that are packaged especially for lovers of the fermented grape.
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News Byte

Amazon’s Diapers.com Subsidiary Spawns New Toy Site

Quidsi, parent company of Diapers.com, Soap.com, BeautyBar.com and Wag.com, is launching a toy-focused vertical today called YoYo.com. The store, which will have about as many toys as a big-box retailer, is part of the company’s strategy to offer niches that sell everyday items with a unified checkout system. YoYo will have 20,000 toys, books and video games at launch, and will have free shipping for orders of $49 or more; or $39, if an order spans more than one site.

News Byte

Lot18 Uncorks Investment From Diapers.com Founders

Lot18, which offers rare or discounted wine and food items online, has closed a partial round of funding from the founders of Diapers.com, which was acquired by Amazon through its purchase of Quidsi in November. Lot18, which has 400,000 members and 80 employees, will use the funding to support growth and to launch new verticals. The amount raised was less than $1 million; in total, it has now raised $13 million.

Who Says There’s a Bubble? Quidsi Launches Pets.com Copycat.

Pets.com serves as the symbol for the height of the bubble, as one of the most memorable flameouts of its time. But that isn’t deterring Quidsi from giving the online pets business another try.
Pets.com Puppet: "Oh no, is there another bubble? Hide!"

TellApart Raises $13 Million to Help Online Retailers Nab Waffling Customers

Burlingame, Calif.-based TellApart has raised $13 million in a second round of funding to help online retailers get customers to make purchases even after they’ve left the page.
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News Byte

Amazon's Purchase of Diapers.com's Parent Receives Rubber Stamp

Amazon.com has received regulatory approval for its previously announced acquisition of Quidsi, the parent company of Diapers.com, Soap.com and BeautyBar.com. According to a document filed with the SEC, the acquisition is expected to close on April 1. Amazon announced in November that it would buy the e-commerce company for $540 million in cash.

Why Amazon Bought Diapers.

Is Amazon Taking Out Diapers.com?