Creator tech firm Flagship quietly revealed it’s shutting down its core ecommerce platform, according to an FAQ initially posted on its website. The final day of sales on the platform is July 16.
The company originated with that platform in 2023 and bet that creators would want to curate product recommendations and earn affiliate revenue using its platform. Over the past year, more than 1,000 creators and 500 brands used the Flagship marketplace to drive sales, cofounder and CEO Youssef Ahres told ADWEEK in an email. He added that some creators earned more than $200,000 a year through Flagship.
But that wasn’t enough to sustain Flagship’s core platform.
“Most creators—even highly effective ones—prefer creating content over running a storefront, and it was harder than expected to get them excited about promoting new or unfamiliar brands,” Ahres, said, adding it was difficult for creators to drive consistent sales.
Consolidation in creator tech
When Flagship launched, it set out to compete with affiliate giants like LTK.
The startup is now pivoting its business around an AI-powered search engine connecting brands with creators called Radar. The company’s website was redesigned last week to promote Radar. Ahres did not respond if the pivot will result in layoffs.
“We’re committed to building tools that help creators earn from their influence,” said Ahres.
Flagship launched in 2023 and raised an undisclosed amount in seed and Series A funding. The company’s investors include VC firms Sequoia Capital and Index Ventures, and both will continue to back the company as it transitions away from its ecommerce platform product, according to Ahres. He did not respond when asked how much Flagship had raised in total.
Flagship’s ecommerce platform attracted a community of creators looking to earn affiliate commission outside of Amazon. One such creator is Caroline Moss, the writer and host of the popular shopping newsletter and podcast, Gee Thanks, Just Bought It! Her newsletter and podcast storefront lived on Flagship, and she appeared on Flagship’s website and in promotional videos.
Moss announced the shuttering of Flagship on the Gee Thanks Instagram account and expressed her sadness about its closure in a blog post. She praised the platform’s ability to connect her audience to small businesses and wrote, “it gave us a home that aligned with our values.” Moss didn’t respond to ADWEEK’s request for comment.