Fiverr Acquires Dropshipping Automation Tool AutoDS
Freelance platform Fiverr recently acquired e-commerce platform AutoDS. This move further cements Fiverr’s evolution from a talent marketplace to a comprehensive platform offering access to experts and software solutions.
Fiverr founder and CEO Micha Kaufman described the acquisition as “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.” He stressed that Fiverr is becoming “a one-stop shop” for digital end-to-end solutions.
AutoDS is a subscription-based platform that provides tools to automate dropshipping, bundling over 150 million products and services. Its services include product research and sourcing, inventory management, and fulfillment automation.
Founded in 2017, the company hit $7.2M in revenue in 2023, serving tens of thousands of paying subscribers globally. The acquisition will bring a significant subscription-based revenue stream to Fiverr and pave the way for its accelerated growth.
Lior Pozin, co-founder and CEO of AutoDS, also highlighted the massive growth potential under one leadership. “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 #1 solution for dropshipping that we always envisioned.”
The dropshipping business model, which allows online businesses to sell goods without physical stock on hand, is becoming more popular by the day due to its lower barrier to entry. As a result, data research company Statista estimates that it will reach $476.1 billion by 2026. According to Fiverr, dropshipping and related services like marketing and programming are “some of the fastest-growing categories” on its platform.
Fiverr has quickly evolved from its humble beginnings as a marketplace for freelancers to offer their services for $5 micro gigs. The company is continuously deepening its commitment to larger employers and businesses in need of reliable, independent talent. Last summer, it released two new business solutions for mid-sized and enterprise businesses, followed by the introduction of Fiverr Agencies for enterprise clients earlier this year.
Recently, Fiverr announced its summer product release, which includes new AI tools, a loyalty program, and the long-awaited hourly rate option.
