Hyperlocal e-commerce platform LoveLocal has raised $ 18 million in a pre-series B funding round led by Vulcan Capital.
LoveLocal has so far raised about $30 million, including the latest round. The Mumbai-based startup to utilise the funds for product development, hire people, and accelerate growth and expansion across tier 1-3 cities across India. It will double its team size from the existing 90 over the next 18 months.
Founded by Microsoft Co-founder Paul Allen, Vulcan Capital had backed homegrown e-commerce marketplace Flipkart in 2013.
The company focuses on hyperlocal daily needs categories like grocery, medicines, fresh fruit, vegetables, and dairy. Its subscriptions range from Rs. 1,000 to Rs. 8,000.
LoveLocal has claimed to have grown 40x in transaction volume terms since inception and currently serves over 35 cities and 1,300 pin codes across India. Reportedly, over the last 18 months, The platform has signed up more than 100,000 retailers and fulfilled more than one million orders. It aims to onboard one million merchants in the next three years.
The hyperlocal grocery and essentials space has seen intensified competition this year with food delivery app Swiggy entering the fray with its Instamart offering. Other platforms such as Google-backed Dunzo, Grofers, and BigBasket have plans underway to perfect the express delivery model.
Alumni Ventures Group, Commerce Ventures as well as angel investors including Nami Zarringhalam, Cofounder of Truecaller; Sriram Krishnan, General Partner of Andreessen Horowitz, also said to have participated in the funding round. Existing investors Blume Ventures, AC Ventures, HenkelX Ventures, and Chiratae Ventures also invested in the round.