Gurgaon based online groceries and electronics delivery platform Grofers, which was founded in 2013, started as a B2B Company and has ever since seen a tremendous growth trajectory. However, if certain media reports are to believed, the company might just create a history of sorts by bringing in Softbank and Tiger Global together for a $200 Million round it is looking to raise.
While there is still nothing official from Grofers on the matter, sources have confirmed us that the company is in talks to raise fresh funds from Softbank — nothing on Tiger Global yet. We’ll keep you updated.
If you are unaware of the rivalry between Softbank and Tiger, you might just want to quickly go through this LiveMint piece which beautifully illustrates the same.
Grofers was founded in 2013 by Albinder Dhindsa and Saurabh Kumar with an aim to build a whole new market segment of online local shopping and on-demand logistics.
Grofers recently made some major changes to their business operations including an asset-model change. This change majorly accounts to the reason for investors making such a huge investment in Grofers.
Explaining the concept of their business, Grofers said –
Grofers is a hyperlocal delivery service. We bring the neighbourhood stores closer to users. We provide a platform to the local merchants and help them to make the transition to online getting all the daily needs to your doorstep. Instead of competing with the local stores, we bring them visibility among users who are not reachable through offline channels. We don’t compete, we collaborate with the local stores.
Also, Grofers recently acquired Bengaluru-based food delivery app SpoonJoy and B2B logistics service provider Townrush in October and acquired My Green Box in April. The move further strengthened its presence in the country.
Grofers has emerged as one of the most heavily backed startups in the hyper-local segment, with two funding rounds already this year. It announced the closure of a $36 million funding round from existing investors – Tiger Global, Sequoia Capital and Yuri Milner in July.
With a presence in 26 major cities, Grofers has seen a tremendous growth and has hired over 2000 employees in past six months. This figure well reflects on Grofers’ foray into the hyperlocal delivery segment.
Among its more recent tie-ups, Grofers tied up with Dunkin’ Donuts to deliver Donuts at doorsteps and is making numerous efforts to make such tie ups with other entities. Grofers competes with the likes of LocalBanya, BigBasket, PepperTap, etc.
We’ve mailed Grofers for a comment on this story, and will update it as soon as we receive one.