Bangalore-based DailyNinja, a hyper-local delivery startup for milk and groceries, has raised $3 million in a fresh funding round led by venture capital firm Saama Capital, along with participation of existing investor Sequoia Capital.
The startup will use the funds to expand its business by acquiring more customers across Bangalore, Hyderabad and Gurgaon. Additionally, the funds will also be used to upgrade customer experience by adding more offerings.
“With this fundraise, we plan to expand in new cities and capture a bigger customer base in our home city of Bengaluru,” said SagarYarnalkar, CEO and Co-founder of DailyNinja.
The startup had earlier raised $1.5-million from Sequoia Capital, in October last year. Prior to this, in August 2016, it had raised an undisclosed amount in Pre series A round of funding led by Venk Krishnan (NuVentures), who was also an existing investor from their previous round. Till date, Dailyninja has raised a total of $4.5 million in four different rounds, according to Crunchbase data.
Founded in 2015 by BITS Pilani graduates Anurag Gupta and Sagar Yarnalkar, DailyNinja handles 25,000 orders daily and expects to increase it to 150,000 in 12 months.
“(Venture capitalists) were averse to the term hyper-local during 2015 and 2016 and we were looking to raise a bridge round after the first round of angel funding,” recalled Yarnalkar, CEO of Daily-Ninja. “Since none of the VCs we approached were interested in funding us, we went back to the angels and that kept us going.”
DailyNinja competes with the likes of Gurgaon-based Milkbasket, Bangalore-based Doodhwala and Town Essentials, and Maharashtra-based RainCan in the micro delivery segment. Milkbasket handles about 8,000 daily orders and SuprDaily about 5,000, according to industry estimates. Doodhwala said it averages 15,000 daily orders.
Notably, MilkBasket and Doodhwala do have a similar business model, they however operate their own fleets unlike to DailyNinja.
Via – Economic Times.