Delhi-based online-to-offline startup nearbuy is in talks with Sequoia India to raise another ₹100 crores (around $15 million). The startup was formerly known as Groupon India which was a subsidiary of American based company Groupon.
Read nearbuy’s Startup Story – This Startup nearbuy is Connecting Two Different Worlds
In 2015, Sequoia pumped in $20 million and that led to the break-up of Groupon India from its American parent and consequently, the firm was rebranded as nearbuy.
Both nearbuy and Sequoia has not yet spoken about the deal. Ankur Warikoo, founder, and CEO of nearbuy told BusinessLine that the company has witnessed a “tremendous” growth post the re-brand and pivot.
In past 1.5 years, the company has doubled the merchant base by expanding the reach from 9 cities in 2015 to 33 cities currently. nearbuy’s Android app has surpassed Amazon’s app on the Google Play Store as the highest-rated e-commerce app.
The service market in India is valued at $76 billion including services across food, beauty, entertainment and travel. However, only 0.1 percent of the transactions occur online. The market has the potential to reach $126 billion by 2022.
Big towns and cities are playing well with nearbuy’s app. But the 2 tier cities lacks merchant base and hence, it will take the time to set footprints in these cities, says Ankur Warikoo.