35up is a technology company.
35up is a technology company.
35up has raised $8.0M across 2 funding rounds.
35up has raised $8.0M in total across 2 funding rounds.
# 35up: High-Level Overview
35up is a Berlin-based SaaS platform that enables e-commerce merchants to implement AI-powered cross-selling at checkout, addressing a critical revenue gap between large online marketplaces and smaller retailers[1][3]. The company was founded in 2020 and has raised $9.9 million across two funding rounds[2].
The core problem 35up solves is straightforward: large online marketplaces generate approximately 35% of their revenues through cross-selling by leveraging their scale and data processing capabilities, while smaller online shops lack the infrastructure and vendor networks to replicate this advantage[3][5]. 35up democratizes this capability by providing a headless API that integrates directly into merchants' checkout processes, allowing them to recommend and sell complementary products from a connected vendor network without inventory risk[1]. The platform uses AI for product matching while giving merchants control over pricing and product selection[1].
The company serves online retailers of all sizes—from small businesses to mid-size and large enterprises—seeking to increase basket sizes and revenue per transaction[4]. Its customers benefit from quick integration, immediate revenue generation, and access to a growing network of vendors, creating a flywheel effect where both merchants and vendors gain value from the connected ecosystem[1].
# Origin Story
35up emerged from the founders' recognition of a structural inequality in e-commerce. The team—Klaus, Bernhard, Fabian, and Victor—drew lessons from their previous venture, Caseable GmbH, where they identified that cross-selling's true potential could only be unlocked through access to a broad vendor network[1]. Rather than building another point solution, they designed 35up as a connected vendor network, positioning it as infrastructure for the broader e-commerce ecosystem rather than a standalone tool[1].
The founding team brings complementary expertise: technical depth in building scalable platforms, sales organization experience, and entrepreneurial ambition from their prior startup experience[1]. This combination of skills proved essential for executing a two-sided marketplace model that required simultaneous buy-in from both merchants and vendors.
# Core Differentiators
# Role in the Broader Tech Landscape
35up operates at the intersection of two powerful trends: the consolidation of e-commerce infrastructure and the democratization of enterprise-grade capabilities for SMBs. The company is riding the wave of embedded commerce—the shift toward integrating commerce functionality directly into existing platforms rather than requiring merchants to build from scratch[1].
The timing is particularly favorable because e-commerce merchants face simultaneous pressures: rising customer acquisition costs (CACs), margin compression, and the need to compete with Amazon-scale players[1]. 35up's solution directly addresses these pain points by unlocking an additional revenue stream that requires no upfront inventory investment. As merchants increasingly seek to optimize unit economics, cross-selling has moved from a "nice-to-have" to a necessity.
The company also influences the broader ecosystem by creating a vendor-friendly alternative to direct marketplace relationships. Smaller vendors gain access to multiple retail channels without the exclusivity demands or margin pressure of major platforms, while merchants gain access to curated product catalogs. This represents a shift toward more distributed, network-based e-commerce infrastructure.
# Quick Take & Future Outlook
35up is well-positioned to capture significant market share in the embedded cross-selling space as e-commerce merchants increasingly prioritize revenue optimization over growth-at-all-costs. The company's network effects—where each new merchant attracts vendors and vice versa—create a defensible competitive advantage that strengthens over time.
The key inflection points ahead likely involve: (1) expanding beyond Shopware integrations to support additional e-commerce platforms, (2) deepening AI capabilities to improve recommendation accuracy and conversion rates, and (3) potentially expanding into adjacent revenue optimization tools (upselling, personalization, dynamic pricing). The company's ability to maintain vendor quality and merchant satisfaction while scaling the network will determine whether it becomes the de facto infrastructure layer for mid-market e-commerce or remains a niche solution.
In a landscape where e-commerce is increasingly fragmented and merchants are desperate for revenue levers, 35up's thesis—that smaller shops deserve the same cross-selling advantages as Amazon—resonates strongly. If execution matches ambition, the company could redefine how online retailers think about revenue optimization.
35up has raised $8.0M in total across 2 funding rounds.
35up's investors include Capnamic Ventures, Coparion, Peter Richarz.
35up has raised $8.0M across 2 funding rounds. Most recently, it raised $5.0M Series A in September 2022.
| Date | Round | Lead Investors | Other Investors |
|---|---|---|---|
| Sep 1, 2022 | $5.0M Series A | Capnamic Ventures, Coparion, Peter Richarz | |
| Mar 1, 2021 | $3.0M Seed | Capnamic Ventures, Coparion, Peter Richarz |