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Zazzle’s Value and Revenue Estimates for 2008

Last month the Silicon Valley Insider published the results of the “estimated” values of the digital startups based on information from readers, sources and an Advisory Board. The list is a work in progress and is said to adjust monthly as they gather more data. Zazzle is currently at number 24 at $250 million and Etsy is at $115 million.

The Insider value analysis is based on a 2006 report in Forbes that Zazzle was generating $20 million in revenue with a gross margin of 50%. the Insider estimates the revenue to hit $80 million in 2008 and with a 4x multiplier Zazzle would be valued at $250 million.

With that in mind I dug up some other interested funding/sales facts about the big Z.

1. Zazzle Funding: $46M ($16M 7/05 & $30M 10/07) [Tech Crunch 1, TechCrunch 2, Zazzle]

Yes, $46 million is a lot of money. I have often wondered what I could do with $46 million. So after 3 years how many sales do you think you can bring in for one month?

2. “In February, Zazzle sold 900,000 different items to customers up from 500,000 the previous February. All told, Zazzle says, it has sold 30 million products.” [USA Today]

Yea, 900,000 different items. (FYI: Where is the fact checker when you need one?). Now to break it down by product:

3. 40% of Zazzle revenue comes from apparel, 25% from postage, 35% from other products (mugs, posters, neckties, and business cards) [USA Today]

So with all those mind boggling figures get ready………………

4. Zazzle It is NOT profitable. (but it says business doubled in 2007) [USA Today]

How many shirts does Zazzle have to sell to be profitable! What are they spending all their money on?

Check out the Silicon Valley Insider top 25 or the Zazzle profile.


Written by T-Shirt Talk


  1. Custom · June 2, 2008

    does this mean cafe press is worth $500 million?

  2. Rob · June 3, 2008

    I suspect that Zazzle is spending their money on the same that that most ambitious businesses spend money on “growing.”

    1. Zazzle has 2-3 times as many employees this year as last year
    2. Zazzle added some new high-level management (TechCrunch)
    ) (always expensive)
    3. Zazzle made some big partnerships (TechCrunch)
    4. Zazzle moved into big spacious new offices (Yahoo Events).
    5. Zazzle purchased some smaller custom products companies (T-Shirt Forums and Zazzle Press Release)

    If a company can stay at or blow the break-even point and still grow, then why should they stop growing just to show a profit? Surely internal investment is a better place for money to go than the IRS. The only people who might be upset about this stratigy are the investors in Zazzle and I’m sure they must be confident in Zazzle’s potential or they would be steering then to take the money and run.

  3. Ms. Anthropy · June 4, 2008

    I’m curious as to why this site seems to have an (albeit subtle) anti-Zazzle slant to most posts…? I bookmarked the site as I’m interested in the business and assumed the site would be an objective “reporter” on the top PODs, showing comparisons and info so users could make informed decisions. However, I think I’m going to remove the bookmark, as each time I read, it seems that it’s all about how sleazy Zazzle is, how the facts they report couldn’t possibly be true, and why anything and everything is better than Shady Zazzle. It’s disappointing.

  4. T-Shirt Talk · June 4, 2008

    Hey Ms. Anthropy, I appreciate your comment. If you have been a long time reader you might have noticed that I am critical about all the major t-shirt companies and don’t play favorites. At times some companies seem to take more of the bad than the good but if something draws my attention I am going to post about it. I would hope that you get something out of my posts whether or not you agree with everything I have to say.


  5. Illusnist · June 7, 2008


    You could try writing something positive about Zazzle. For a company that’s worth $250mil, you are quick to cut them down.

    I had noticed that before, also. My guess was that this site is most likely owned and operated by a rival company.


  6. T-Shirt Talk · June 7, 2008


    Thanks for the advice Roger, I will keep it in mind. And, no I am not a rival company just an opinionated individual.


  7. T-Shirt Talk · June 8, 2008

    Also Ms. Anthropy & Illusnist if you have any positive news or stories you are welcome to submit them to me and I will consider going a post about it.


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