Gurgaon-based micro-delivery eCommerce company, Milkbasket that was founded in early 2015 by Anant Goel, Ashish Goel, Anurag Jain and Yatish Talvadia, has raised $500,000 in pre-Series A round led by EVC Ventures and Chinese Investors including Peter Zou, CEO of YeahMobi, and Li Jian, founder of Zhu Dao Investments. Snapdeal vice presidents Vikas Banga and Manav Kamboj also invested as well.
“We will use this fund to expand the core team, further enhance our technology and beef up the logistics. We are aiming for a 10x growth in customers in the next four to five months and increase per customer spend by 2.5 to three times during this time,” said Anant Goel, CEO of Milkbasket.
The startup is a subscription-based asset-light micro-delivery service fulfilling daily grocery and household needs of customers. It is currently operates in 15 clusters in Gurgaon, each cluster with a user base of around 500. Starting with only milk delivery, Milkbasket now offers over 3,000 products through a hybrid inventory model to maximize product margins while controlling costs. Its app has recorded about 1,000 downloads so far.
The company would focus on establishing itself in Gurgaon before expanding to other geographies. It also is expanding its offering portfolio with an aim to cover all daily needs of customers. Over the next 6 months, Milkbasket aims to grow to a 250-strong organization with 80% workforce in logistics and serving over 15,000 orders a day across more than 100 clusters in Gurgaon.
The funding comes at a time when the hyperlocal grocery space faces a tough period. A few days back, Sequoia backed most heavily funded startup PepperTap closed its hyperlocal delivery business. In January, hyperlocal grocery and fresh food delivery startup Grofers shut down its operations in nine cities and in October 2015, Mumbai-based LocalBanya, a three-year-old online supermarket, stopped taking orders.