Bangalore-based Arzooo.com, a fast retail technology venture enabling brick & mortar retailers to compete with online stores with its flagship “Go Store” platform, has raised US$1 Million in Pre-Series A round of funding led by Jabbar Internet Group of Dubai.
Arzooo.com plans to use the freshly raied funds in expanding its geographic presence pan India and will invest a substantial part of the funds in product enhancement, new talent recruitment and improvement of Go Store technology to encompass a wider network of cross sector retailers.
Founded by ex-Flipkart colleagues and IIT Kharagpur alumni – Khushnud Khan and Rishi Raj Rathore, Arzooo enables a partner store with its technology platform equipping them to offer largest selection to customers without having to invest in Inventory, creating most competitive price and offering attractive payment solutions to improve sales conversion in-store.
Arzooo’s tech platform “Go Store” has on-boarded physical retailers across 3 major cities of Bangalore, Hyderabad and Chennai. The platform’s unique technology offering solves the big problem of selection, price and complex supply chain & sourcing for Offline retailers. With this platform, Arzooo.com is equipping the physical retailers to compete and grow in the age of Amazon & Walmart. It enables a partner store to offer its customers the largest selection, best prices and fastest delivery, without them having to stock every item.
While Arzooo.com’s co-founder Khushnud was an Associate Director (Large Appliances) at Flipkart between 2012-2016, Rishi, an IIT Kharagpur alumni, was a product manager in Flipkart for 2015-16, where he was leading hyperlocal grocery and logistics platforms and had started Flipkart’s hyperlocal delivery segment for food and grocery deliveries. He had built FQuick, a hyperlocal logistics platform, there.
Commencing with the $48 billion Consumer Electronics market in India, Arzooo Go Store is disrupting the sector by digitizing the retailers on its Go Store platform. With this, retailers who command 90% of the consumer base (who prefer on-ground touch and feel of large appliances as a preferred mode of purchase) are able to convert a growing number of them into sales from in-store walk-ins. This is without investment on storage space, stocking or logistics for the physical retailer who has the potential to cross sell across categories via this platform.
Commencing with the Consumer Electronics retail category, Arzooo.com has plans to expand into other retail categories by integrating 500,000 retailers by 2022. The company currently has 500 partner stores on its platform and intends to own 20% of the consumer electronics market share by 2020.
The online marketplace comprising 7-8% of consumer electronics retail between Amazon and Flipkart who offer price and large selection advantage to the end consumer. This has been a limiting factor for the physical retailer who faces challenges of limited choice of inventory and sourcing prices have led to an impact on profitability for the physical retailers. Arzooo.com via the Go Store platform solves the problem of Price, Selection and Storage for the physical retailer via its technology that bridges the gap of a single point product sourcing from manufacturers and an expansive product offering via the digital catalogue.
Launched in 2009, Jabbar Investment Group is a leading investor in the MENA region and is known for some of biggest exits in the region that include maktoob.com, Yahoo, Souq.com and Amazon. Jabbar is also an investor in Mumbai based Hopscotch, a babycare and kids products e-commerce startup [Refer].