Companies originally created, developed and operated by WebMagic
Companies created by or with WebMagic® offer a combination of diverse products and services, competitive prices, technological innovation and original editorial content at key World Wide Web domains
Pets.com was founded and developed at WebMagic’s Pasadena, California, headquarters. We conceived of the company and set up its web site, offices, staffing, and distribution. In early 1999, we made Pets.com a separate company, brought in venture capital funds from Hummer Winblad Venture Partners and Amazon.com.
After kicking Pets.com out of our nest, we moved it to San Francisco where it became fully independent under the guidance of its management team and venture partners. Unfortunately, within 2 weeks of this announcement a dozen other copycat businesses were “launched” by other venture firms that “wanted a piece of the action.” Pets.com went public on February 11, 2000, and the rest is history. The success of Pets.com depended on reaching a certain size in which savings and the economies of scale from having a number of regional warehouses would be fully realized. The copycat businesses threw tons of resources (the top 3 imitators raised an average of nearly $100,000,000.00 each!) in trying to reach critical size before Pets.com did. All they did was make sure all the pet sites used up their resources before reaching critical mass.
We are often asked if we would work with the same venture partners again–Yes, we would.
During this time, the business-to-business phase of the Internet craze was developing. The B2B businesses tended to have twice as many stupid competitors as the Internet retailers experienced. As such, we were one of the few top-tier Internet development houses that did not launch pre-IPO B2B plays.
Once the Internet’s largest toy store, WebMagic’s Toys.com set the standard for online toy retailing, attracting customers from all corners of the globe. The business was acquired in 1998 by eToys.