Cocoon

Cocoon

Renting luxury handbags via membership

Overview

Cocoon Club rents high-end designer handbags through a subscription-based service. Members choose a plan, verify their identity, and select bags from Cocoon’s collection to have shipped to them for the duration of their membership. They can swap bags monthly and with Bag Passes they can rent any bag for a week. The bag condition is clearly described, from new to well-used, so customers know what they’ll receive. Revenue comes from membership fees and Bag Pass sales. Different from traditional ownership or one-off rentals, Cocoon emphasizes access over ownership and sustainability by extending the life of luxury handbags through ongoing use. The company’s goal is to make luxury handbags accessible on a flexible, transparent, and responsible basis while reducing waste in the fashion system.

About Cocoon

Simplify's Rating
Why Cocoon is rated
C+
Rated C on Competitive Edge
Rated B on Growth Potential
Rated C on Differentiation

Industries

Consumer Software

Design

Consumer Goods

Company Size

51-200

Company Stage

Series A

Total Funding

$28.5M

Headquarters

London, United Kingdom

Founded

2020

Simplify Jobs

Simplify's Take

What believers are saying

  • ADP Ventures integration expands reach to ADP's vast employer ecosystem.
  • Paychex Marketplace offers 30% off first year, boosting HR adoption.
  • Sequoia praises time-saving automation, reducing administrative strain.

What critics are saying

  • ADP bundles commoditize Cocoon, eroding standalone value in 6-12 months.
  • Paychex discounts undercut pricing power in 3-6 months.
  • BambooHR's superior modules drive mid-market churn in 12-18 months.

What makes Cocoon unique

  • Cocoon automates compliance, claims, and payroll for seamless leave management.
  • Intuitive tools empower employees to plan leaves privately in minutes.
  • Partners with Carta, Vanta, and Khan Academy for tech-focused compliance.

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Funding

Total Funding

$28.5M

Above

Industry Average

Funded Over

0 Rounds

Benefits

Health Insurance

Dental Insurance

Vision Insurance

Unlimited Paid Time Off

Professional Development Budget

Parental Leave

Paid Sick Leave

Paid Vacation

Flexible Work Hours

Growth & Insights and Company News

Headcount

6 month growth

0%

1 year growth

-2%

2 year growth

-1%
The Payments Association
Jan 13th, 2022
Nuapay partners with Cocoon

Nuapay’s partnership with Cocoon empowers auto sales garages to cut costs by three quarters compared to traditional card-based payment methods, which do not suit automotive dealers.

Bushwick Daily
Jan 10th, 2022
Cocoon opens new location in Kings County, New York, United States

Cocoon, a coworking and community event space, has opened at 49 Wyckoff Ave. in Bushwick.

Techmeme
Sep 29th, 2021
Index Ventures invests into Cocoon in $20M

Cocoon, which offers a service to help companies and employees manage leave, raises $20M Series A led by Index Ventures — Employee leave benefits are a complicated web of company and government policies, and Cocoon is out to bring clarity and simplicity to both the employer and employee experience.

The Wrap
Sep 7th, 2021
Substack Inc. acquired Cocoon on Jan 1st 21'.

Throughout this year, Substack acquired subscription app Cocoon, debate platform Letter and community management consultancy People & Company.

TechCrunch
Aug 24th, 2021
Substack acqui-hires team behind subscription social app Cocoon | TechCrunch

Subscription newsletter platform kingpin Substack shared today that they've acqui-hired the team behind Cocoon, a subscription social media app built for

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