Etsy Acquires Music Gear Marketplace Reverb
Etsy has further expanded on its online shopping presence with the acquisition of new and used music gear marketplace Reverb for $275 million – further taking on the likes of JB Hi-Fi, Harvey Norman and Kogan.com.
Craft e-commerce giant Etsy hopes to increase Reverb’s digital capabilities by leveraging its own expertise in the area (for example SEO etc.).
“Vibrant two-sided marketplaces are lighting in a bottle – there are only a handful of them operating at scale – and Reverb is one,” said Josh Silverman, Etsy CEO.
“This transaction is a great strategic fit that firmly aligns with our mission of keeping commerce human.”
“Reverb is the ‘Etsy’ of musical instruments, with significant competitive advantages, and we see tremendous value and untapped potential in the business.”
Reverb will continue to operate independently once the deal closes under the terms of the acquisition.
The deal is expected to close sometime in the third or fourth quarter of 2019, pending regulatory approval.
“What started out as a simple solution – a two-way marketplace built for musicians by musicians – quickly grew into so much more,” Reverb CEO David Kalt said in a statement.
“With Etsy as our parent company, we’ll remain the marketplace built for the music community by a team of musicians and music lovers.”
“At the same time, we’ll have added resources to continue growing and improving the Reverb community.”