Spark Capital leads $20m funding round, alongside Amazon Alexa Fund and Bar 9 Ventures, app-enabled coffee machine maker Spinn seeks to catalyse growing demand for at-home coffee
The new $20m investment brings Spinn's total funding to $37m | Photo credit: Spinn
US bean-to-cup coffee machine company Spinn has secured $20m funding led by US venture capital company Spark Capital, with Amazon’s Alexa Fund, Bar 9 Ventures and existing investors. The round brings Spinn’s total funding to $37m to date.
“Spinn is doing for coffee what Dyson did for vacuums and what Nest did for homes, rethinking technology and connectivity for better results,” said Kevin Thau, General Partner at Spark Capital.
“Their approach, from machine design to roaster assortment, is elevating the entire industry and delivering what consumers seek today: delicious tasting coffee brewed to their personal preferences, with the smallest impact on the planet,” he added.
Spinn coffee machines use patented technology to brew coffee using centrifugal force. The app-enabled appliances also connect directly to a marketplace of more than 500 coffee roasters from around the world, the company promotes on its website.
San Francisco-based Spark Capital has invested in a wide range of technology platforms, including social media giants, Twitter and Snapchat, as well as productivity app, Slack and crypto-currency app eToro. However, its investment in an app-enabled coffee machine indicates the attraction of the booming at-home coffee market.
Despite pandemic trading pressures, Swiss premium coffee pod manufacturer Nespresso posted 2020 sales of CHF5.9bn ($6.6bn), with organic growth of 7% – the highest in six years – with North America becoming its largest market.
Meanwhile, JAB Holdings-controlled Keurig Dr Pepper (KDP) reported retail consumption of single-serve pods increased 3.9% in the first quarter of 2021.
Premium coffee machines are becoming increasingly popular for consumers seeking to replicate the café experience at home, following Covid-19 lockdowns. In July 2021, Lavazza released an espresso coffee machine with built-in Alexa technology aimed at the consumer market.