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Fiverr acquires AutoDS, enhancing eCommerce capabilities

Thu, 1st Aug 2024

Fiverr, the global freelance platform, has announced its acquisition of AutoDS, a company that provides subscription-based end-to-end solutions for dropshippers. AutoDS offers tools for product research and sourcing, inventory management, and automated fulfilment. This acquisition will enhance Fiverr's eCommerce capabilities and integrate thousands of dropshippers into its ecosystem.

The acquisition aligns with Fiverr's strategy to bolster its presence in website development, e-commerce management, and social media marketing. Micha Kaufman, founder and CEO of Fiverr, commented, "Dropshipping and its adjacent services in marketing and programming verticals are some of the fastest growing categories on Fiverr. It is also a community that is deeply rooted in Fiverr's origin, where anyone with talent and idea can leverage Fiverr's platform to build a business."

Kaufman also noted, "This acquisition marks another step in Fiverr's transformation from a marketplace into a powerful platform that offers not only access to talent but also software solutions for its audience, making it a one-stop shop for their entire digital needs."

AutoDS aggregates over 150 million products and serves tens of thousands of paying subscribers. The company was founded in 2018 and is managed by Lior Pozin, Michael Royf, and Ofir Bokobza. AutoDS aims to automate the dropshipping process, helping businesses scale easily by sourcing products from major channels like Amazon and eBay. The platform provides a single dashboard where multiple stores can be monitored, and prices are automatically updated in real time.

Lior Pozin, co-founder and CEO of AutoDS, expressed optimism about the acquisition. "Our audiences are very similar - ambitious entrepreneurs who are building and growing their businesses - so the opportunity is clear," said Pozin. "With Fiverr's experience growing a global brand, together we will be able to accelerate our growth and take the company to the next level, helping us build the company to be the world's number one solution for dropshipping that we always envisioned."

The move is expected to benefit Australian entrepreneurs and small businesses by providing them access to advanced tools and resources crucial for navigating and thriving in the global dropshipping market. As online retail remains a vital and rapidly growing sector in Australia, Fiverr's acquisition of AutoDS is set to strengthen its position as a key player. This development will provide valuable opportunities for local businesses to grow and improve efficiency in their eCommerce operations.

AutoDS will remain independently operated while working with Fiverr to maximise synergies between the two companies. This acquisition brings tens of thousands of dropshippers into the Fiverr ecosystem, expanding its footprint in the value chain in categories with existing dominance and growth momentum, including dropshipping, website development, e-commerce management, and social media marketing.

According to market evaluations, the global dropshipping market size was valued at USD 285 billion in 2023 and is expected to exceed USD 2 trillion by 2033. The integration of AutoDS will bring a new subscription-based revenue stream to Fiverr and strong synergies to accelerate growth in these market categories.

AutoDS has grown significantly since its inception, adding numerous partners and tools, including the AutoDS AIWrite tool designed to optimise listings for dropshippers. The new resources provided by AutoDS are expected to further enhance Fiverr's offerings, making it a comprehensive platform for a wide range of digital needs.

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