Online retailer MatterHackers Inc. set out to make desktop 3D printing more accessible to consumers by helping them weed through the plethora of machines and accessories available on the market.
Their vision has paid off in recent years and landed the company on the Business Journal’s annual list of Fastest-Growing Private Cos.
The Foothill Ranch-based company is a fast-grower fixture—last year ranking No. 9 in the small-firm category that includes those under $10 million annual sales with two-year revenue growth of 226% to $8.2 million. This year, the printing supplier and software designer hacked the midsize companies’ roster—those under $100 million in annual sales—at No. 11 with 2018 revenue of $12.9 million, up 158% over a two-year period. It also grew its workforce from 20 employees in 2016 to 46 this year—mostly in sales and web development.
Chief Operating Officer Kevin Pope said the 3D printing industry has been growing like “gangbusters.”
“We’re fortunate to be in such a fast-growing market,” he said. “There’s been a ton of adoption by schools and more by large enterprises over the last two years.”
Pope said high schools, libraries and universities have been longtime customers but it’s recently seen an increase in sales to companies such as Tesla Inc., Boeing Co. and Lockheed Martin as well as medical device companies in Orange County and Hollywood-based prop and set-design firms.
He said many of the larger companies are beginning to see the benefit of using desktop 3D printers to create prototypes or even produce specific parts as a way to minimize production costs.
In order to meet increased demand and cut down shipping time, the company opened a fulfillment facility in Pennsylvania two months ago. Now, many of its East Coast customers will be able to take advantage of free one day shipping, as opposed to waiting two to three days.
“We’re looking at opening other fulfillment locations,” Pope said. “This whole business started from filling gaps in the market and all along the way we’ve been trying to smooth out the path.”
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MatterHackers was founded in 2012 by Chief Executive Lars Brubaker. He was the co-founder of video game development company Reflexive Entertainment, which he sold to Amazon.com Inc. in 2008 for an undisclosed sum. The Lake Forest-based company eventually merged with the retail giant’s subsidiary Amazon Game Studios in 2014.
Brubaker then partnered with Pope, who was the former controller at Reflexive, and hired on Chief Financial Officer Michael Hulse.
Since the launch, the trio’s goal has been to offer high-quality machines and supplies while also educating consumers about 3D printing.
The company bills itself as the largest distributor of 3D printers and 3D printer filaments, the coil of fiber used by machines, in the U.S.
It sells more than 50 different machines, including refurbished units, and over 700 materials, including its own branded filament. It also introduced its free printing software called MatterControl in 2014, which is compatible with most 3D printers.
The seller has recently been expanding its product offerings by adding desktop laser cutters and CNC machines, which can be used to carry out a whole array of manufacturing tasks.
Hulse said the key to its growth has been helping to educate new and longtime clients on the different uses of 3D printers from making basic cups to medical device parts.
“I feel that’s been a large part of our growth—trying to spread the message of what 3D printing can actually do in your school or business,” he said. “We always want to stand as the experts in the field.”
He added that an estimated 65% of its sales are from those buying machines and the remaining 35% is supplies.
Prices for machines can range from $400 to $6,000.
Pope added that its openness to helping customers is what sets it apart from the competition. Customers can come into its Foothill Ranch showroom for help, call in to its support line or visit its website, which hosts a community forum and offers research and tips.
“We’re frequently helping people sort through their options in terms of what machines, what brand or which materials they should use,” he said. “Frankly, it’s been one of our competitive advantages against generic retailers like Amazon, who is probably our biggest competitor.”
