Hyperlocal E-Commerce Platform, LoveLocal, Raises $18 Million in Pre Series B Funding Round
LoveLocal, a startup to empower the local retailers, raises $18 million in a pre-series B funding round led by Vulcan Capital.
LoveLocal is an Indian-based hyperlocal e-Commerce platform. The startup aims to empower and strengthen local retailers. The startup uses the idea of digitization of a $1.1 trillion unrecognized Indian retail market. The pre-series B funding was led by Vulcan Capital in which LoveLocal raised $18 million. However, it also saw participation from Klarna Founder & CEO Sebastian Siemiatkowski’s Flat Capital, Alumni Ventures Group, and Commerce Ventures.
Some angel investors Nami Zarringhalam, co-founder of Truecaller, Sriram Krishnan, general partner at Andreessen Horowitz, Anna Lambert, director of product acceleration at Shopify, Sarah Jones Simmer, CEO of Found & ex-COO of Bumble, Arpan Sheth, senior partner at Bain & Company, and others joined the funding round as well.
Moreover, other existing investors Blume Ventures, AC Ventures, HenkelX Ventures, Chiratae Ventures also invested, with Candy Ventures also contributed and notably increased their ownership.
The startup was launched in January 2020. Since its establishment, the company received a great response from the local and international markets. Timely and aptly tapping the potential of a trillion-dollar unrecognized retail market, LoveLocal expanded 40x times since its inception. Currently, the startup is operating in around 35 cities and 1300 pin codes. In only 18 months, LoveLocal has more than 100,000 retailers registered with it and has processed around 1 million orders. This eCommerce platform is growing at a rapid speed; with 35% month-on-month growth.
Akanksha Hazari, Founder & CEO of LoveLocal, said “We have always believed in the local retailer. They win on every consumer consideration: service, quality, product selection, value, credit, free delivery, and speed of delivery. Local businesses also account for more than 40% of jobs in India. They are the bedrock of our communities and the economy. LoveLocal is bridging the technology gap to ensure that our local retailers not just survive but thrive in India 2.0 and beyond.”
As per the reports, the startup plans to use the current funds to further increase the scope of the startup. Because there is still a huge chunk of the unrecognized retailers remaining.
However, this needs to be accepted that eCommerce has not only made retail quick but also created jobs. E-Commerce platforms have also ensured a secure payment gateway. Moreover, the process of digitalization is important to take more and more businesses and individuals into the tax net. The demand for the development of eCommerce platforms increased manifold during the pandemic. Because people were unable to travel physically to do groceries. This is the reason that even social media platforms like Facebook, Instagram, and Tik Tok also incorporated some features to enter the eCommerce market.