Linktree, Australia’s startup best known for its popular “link-in-bio” tool, has raised $110 million at a $1.3 billion valuation, led by Index Ventures and Coatue Management, with participation from AirTree Ventures, Insight Partners and Greenoaks.
why is it important: As more social media and online content applications emerge, Linktree and its investors are betting it can serve as a unifying “digital calling card” in an increasingly fragmented landscape.
Background: Linktree was founded in 2016 by brothers Alex and Anthony Zaccaria, and Nick Humphreys, who ran a digital agency at the time, and needed an easier way to manage their clients’ many social media links .
- Today, the company claims it has over 24 million users, most of whom don’t pay for its premium tier.
- Former Twitch executive Mike Olson joins the company as the new president.
Between the lines: “Facebook as a directory – it was actually a good solution for that when Facebook was the only place online where you could find out more about someone,” says Dan Rose, president of Coatue Ventures, a former executive at longtime from Facebook.
- “What’s been going on for 15 years…we all have our identities online, but it’s fragmented, especially for creators,” he adds.
- And while fragmentation is also why the company isn’t worried about individual apps adding similar functionality, it competes with a slew of alternatives like simple website builders and more direct rivals, like the new “Link Launchpad” from Bitly, Koji, Beacons and others.
The plot: While Linktree currently makes money by charging for premium features, commerce should be another promising revenue stream for the company, according to Rose, whose company first invested in a previous round.
- Last year, Linktree announced an integration with Shopify and offers other payment features as well.
Linktree also has platform aspirations, and plans to allow third-party developers to build on its product more broadly, Axios has learned.
- Currently, only partners on deeper integrations, such as direct music and video players, have access to Linktree’s software development tools.
Go further: New Social Media Trend: Old-Fashioned Links
Editor’s Note: Story corrected to note that Dan Rose is President of Coatue Ventures (not Coatue Management).