About Kaspien Holdings

Kaspien Holdings Inc. operates as a digital marketplace retailer. The company generates substantially all of its revenue through Amazon Marketplace. The company provides software and services to empower brands to grow their online distribution channels on digital marketplaces, such as Amazon.com and Target.com. The company helps brands achieve their online retail goals through innovative technology, custom-tailored strategies, and mutually beneficial partnerships. The company focuses on delivering sustainable profitability to its partners. The company's approach allows for a diversified go-to-market approach, enabling economies of scale for multiple operations. Retail Business Model: The company buys inventory and uses its expertise, technology, and services to generate revenue through marketplace transactions. The company provides account management, brand communication, listings management, data reporting, joint business planning, and comprehensive marketing support services. The company's target partners are enterprise-level large growth brands that derive margins based on pricing. Agency Business Model: The company uses its expertise, technology, and services to manage its partners' marketplace presence through channel management with no inventory position. The company provides support services for account management, media planning, media analytics, search strategy, business planning, and data reporting. The company's target partners in this space range from medium size to enterprise-level brands. The company derives margin based on a retainer plus a percentage of transactions and/or specific service fees. The company provides all the software and services required to drive brand growth and achieve a brand's online goals on Amazon.com, Walmart.com, and Target.com through multiple business models-namely, Retail and Agency services. The company is a technology-enabled services company built to drive marketplace growth. Partners The company views its retail customers as its partners. The company's partners include brands, suppliers, and distributors. The company's categories of focus include but are not limited to: Baby, Pets and Sporting Goods, Tools/Office/Outdoors, and Health and Personal Care. In fiscal 2022 (year ended January 28, 2023), these top categories accounted for approximately 83% of the company's total revenue. The company views all brand customers of its platform as partners. Its partners include brands, suppliers, distributors, liquidators, and affiliates, such as venture capital firms and marketing agencies, as well as other industry brand aggregators. The company's market sectors include, but are not limited to, Pets & Sporting Goods, Baby, Tools/Office/Outdoors, and Health & Personal Care. In 2021, these top categories made approximately 70% of the company's total revenue. The company uses leading online tools to identify brands that would be good strategic fits for its services. The company utilizes content marketing to strengthen visibility within the e-commerce industry. The company's public relations efforts consist of press releases, articles in industry publications, and articles on its website to build its brand. The company also has an aggressive business development outreach program and attends several industry tradeshows annually. Partnership Models The company can be leveraged and engaged via two primary and distinct business models. Retail Partnership: The company owns the inventory. In this model, the company buys and sells inventory on marketplaces, such as Amazon.com, Walmart.com and Target.com as a third-party seller. The company supports private label and dropship integrations with various suppliers and distributors. The company has also developed four incubated brands, such as Jumpoff Jo, Brilliant Bee, Big Betty, and Domestic Corner. Agency Partnership: Partner owns the inventory. In this model, the company serves as an extension of its partner's e-commerce team, providing full service inventory management, marketing management, creative services, content optimization, brand protection, compliance protection, fee recovery, and other marketplace growth services. Primary Agency services include ad management, brand protection and seller tracking, cost recovery and case management, dropship automation, inventory and supply chain management, and creative services. As of January 28, 2023, the company had over 100 active retail partners and 12 subscriptions partners. Technology and Integrations The company has formed strategic partnerships with NetSuite to power its ERP, MyFBAPrep for their logistics and fulfillment network, IPSecure for brand protection, Seller Investigators and Charge Guard for fee recovery services, Helium10 for keyword research, Vantage for content optimization, and many others. Business Environment In the United States, the company sells on marketplaces that represent greater than 50% of national e-commerce visits and sales, including Amazon.com US, Amazon.com CA, Walmart.com, and Target.com. Revenue Distribution The company's primary source of revenue is through its Retail business, specifically as a third-party seller on the Amazon US marketplace. In the year ended January 28, 2023, the share of its retail revenues generated from its Amazon US business was 94.8%. The company's international retail business represented 2.5% of retail sales in the year ended January 28, 2023. The remaining retail revenue is generated from other marketplaces, including Amazon.com CA, Walmart.com, eBay.com, and Target.com. The company focuses on various categories, including pets and sporting goods, baby, tools/office/outdoor, health & personal care, and home/kitchen. Trademarks The trademark Kaspien is registered with the U.S. Patent and Trademark Office and is owned by the company. History The company was incorporated in New York in 1972. It was formerly known as Trans World Entertainment Corporation and changed its name to Kaspien Holdings Inc. in 2020.

Country
Industry:
Catalog and mail-order houses
Founded:
1972
IPO Date:
07/24/1986
ISIN Number:
I_US4858371085
Address:
2818 N. Sullivan Road, Suite 130, Spokane, Washington, 99216, United States
Phone Number
509 900 6287

Key Executives

CEO:
Kowalchuk, Brock
CFO
Sapienza, Edwin
COO:
Bailey, Mitchell