Tracxn Research: Grocery Tech India Landscape, August 2016

Grocery Tech India Report, August 2016

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Contents

Topic Page No.

Scope of Report 05

Entrepreneur Activity 07

Investment Trend 10

Who is Investing 18

Exit Outlook - IPO, Acquisitions 22

Sub Sector Analysis 24

Interesting Companies 37

Useful Links 42

Company List 44

Team 175

3

3


Illustrative Sectors We Track In India

OFFLINE

AGRICULTURE

FOOD & BEVERAGE

OUTSOURCING

CONSUMER GOODS

HEALTHCARE

FINANCE

EDUCATION

MEDIA & ENTERTAINMENT

TECH

MOBILE

MARKETPLACES

CONSUMER DIGITAL

ENTERPRISE TECH

FINTECH

ADTECH

HEALTHTECH

EDTECH

SaaS

TECHNOLOGY

CROSS BORDER

FOOD

TRAVEL

RETAIL

TRANSPORT

GROCERY TECH

SECOND HAND GOODS

HOME SERVICES

LOCAL SERVICES


Sector Overview

Scope of report

This report covers companies that provide an online platform for buying and selling of grocery items. Companies acting as puredelivery service providers or those who bring local offline grocery shops online are also included. It excludes offline retailcompanies such as Big Bazar, More and Spencers Retail.

615+ companies were incorporated from 2010 with 315+ companies founded in 2015 itself. But in 2016, the rate of numbercompanies founded decreased drastically to less than 50% when compared to 2015. Of the total 615+ companies around 490companies belong to the horizontal segment with the Retail and Marketplace business models. Fruits & Vegetables segmentcomes next with around 50 companies falling into it.

In recent times, Horizontal - Retail and Marketplace business models have matured in Groceries sector with companies such asBigBasket, Grofers, ZopNow receiving huge funding in their respective segments.

B2B is the upcoming segment in Groceries sector, where the companies connect the producers/brands/manufacturers with thelocal merchants/businesses. Companies such as Ninjacart, Truce, VegFru operate in this segment.

Retail – Subscription & Dairy Products - Subscription have also seen some traction with increasing entrepreneur activity.

The scope of this report includes equity as well as debt funding received by the companies.


Scope of Report

Entrepreneur Activity

Investment Trend

Who is Investing

Exit Outlook - IPO, Acquisitions

Sub Sector Analysis

Interesting Companies

Useful Links

Company List

Team

6

6


315

38

69

155

307

23

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2010 2011 2012 2013 2014 2015 2016

Nu

mb

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YoY – Number of companies founded

Ocean Hooks BigBasket Localbanya Grofers PepperTap Licious HealthSeeker

Farm2Kitchen ZopNow Chennai Sea Food Greencart.in Satvacart Ninjacart IndiaFreshGrocery


Large & Niche Upcoming Sectors


Scope of Report


Investment Trend

Who is Investing


Sub Sector Analysis


Useful Links

Company List

Team

9

9


YoY – Number of Rounds and Total Funding

$12M$17K

$39M

$281M

$158M

3 3

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26

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18

24

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2011 2012 2013 2014 2015 2016

Nu

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Funding Amount Number of Rounds

Note: The funding includes debt rounds also.


YoY – Number of Rounds by Stage


YoY – Funding by Stage


Average Ticket Size – Early Stage


Top investments in last one year


Funnel view of Sector


Scope of Report


Investment Trend

Who is Investing


Sub Sector Analysis


Useful Links

Company List

Team

17

17


Most Active Investors in Sector

7

3 3 3 3 3

2 2 2 2

0

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Sequoia Capital Accel Ascent Capital QualcommVentures

Tiger GlobalManagement

Times Internet BessemerVenture Partners

Helion VenturePartners

Palaash Ventures SAIF Partners

Tota

l Nu

mb

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f R

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Grofers BigBasket Grofers Jiffstore BigBasket BigBasket Satvacart PepperTap

PepperTap Ninjacart Ninjacart


Where are Top Investors investing


Top Investor by Stage of Entry


Scope of Report


Investment Trend

Who is Investing


Sub Sector Analysis


Useful Links

Company List

Team

21

21


Major Acquisitions in last one year

Date Company Acquirer Deal Size OverviewTotal

Funding

Jun-2016SabkuchFresh

(Chandigarh, 2016)Jugnoo Undisclosed

Online store for fruits & vegetables (Now rebranded as Lofatafat.com)

-

Dec-2015 jiffstore.comJiffstore

(Bangalore, 2013)Peppertap Undisclosed

M-commerce platform for ordering groceries from local kiranastoresTLabs, Times Internet, Unitus Seed Fund

$16K

Dec-2015 meragrocer.comMeragrocer

(Gurgaon, 2014)Spencers Retail Undisclosed Online retailer for groceries, organic and dairy products -

Sep-2015 bigzop.comBigZop

(Gurgaon, 2015)Autoncab Undisclosed Online hyperlocal grocery marketplace -

Oct-2015 mygreenbox.inMyGreenBox(Delhi, 2014)

Grofers Undisclosed Mobile-first grocery delivery service -

Feb-2015 ekstop.comEkStop

(Mumbai, 2011)Natures Basket Undisclosed

Online retail platform for groceries and other household productsUnilazer Ventures, Jungle Ventures

Undisclosed


Scope of Report


Investment Trend

Who is Investing


Sub Sector Analysis


Useful Links

Company List

Team

23

23


August 2016Tracxn Market map : Groceries - India615+ companies in the sector, 30 funded in since 2011, $439M invested in 2015/16

24


Top Business Models by Funding

$4M$3M $2M

$1M

$250M

$231M

0

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Horizontal Meat & Seafood B2B Fruits & Vegetables Dairy Products

Tota

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# Cos. 487 30 23 50 14

Avg. Age 2014.2 2013.1 2014.9 2014.2 2014.1

BigBasket Licious Ninjacart Greencart.in MilkBasket

Grofers ZappFresh Truce FreshWorld Daily Ninja

Marketplace

Retail

400

500


Horizontal – Entrepreneur Activity and Investment Trend


Horizontal – Most Funded Companies


B2B – Entrepreneur Activity and Investment Trend


B2B – Most Funded Companies


Fruits & Vegetables – Entrepreneur Activity and Investment Trend


Fruits & Vegetables – Most Funded Companies


Meat & Seafood – Entrepreneur Activity and Investment Trend


Meat & Seafood – Most Funded Companies


Dairy Products – Entrepreneur Activity and Investment Trend


Dairy Products – Most Funded Companies


Scope of Report


Investment Trend

Who is Investing


Sub Sector Analysis


Useful Links

Company List

Team

36

36


Interesting Unfunded Companies

Company Overview Business Model

Buy Ample(2015, Mumbai) Mobile first membership based grocery wholesaler

Horizontal > Retail

Supr Daily(2015, Mumbai ) Mobile first subscription based delivery of daily grocery needs

Horizontal > Retail > Subscription

Fresh Supply(2015, Delhi )

B2B platform connecting farmers, wholesalers to businesses B2B > Fruits & Vegetables

Curated list of companies by the sector analyst are defined as Interesting


Interesting Seed & Angel Funded Companies


Interesting Series – A, B, C & D Funded Companies


Top Funded Dead Pooled Companies


Scope of Report


Investment Trend

Who is Investing


Sub Sector Analysis


Useful Links

Company List

Team

41

41


Useful Links

Slide Title Content Platform Link

List of All Companies in readable format Companies Link

Large Upcoming Sectors Entrepreneur Activity Link

Niche Upcoming Sectors Entrepreneur Activity Link

Top investments in last one year Investment Trend Link

Major Acquisitions in last one year Exit Outlook - Acquisitions Link

Horizontal – Funded Companies Sub Sector Understand Link

Fruits & Vegetables – Funded companies Sub Sector Understand Link

Meat & Seafood – Funded Companies Sub Sector Understand Link

Dairy Products – Funded Companies Sub Sector Understand Link

B2B – Funded companies Sub Sector Understand Link

Top Funded Dead Pooled Companies Companies Link

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Scope of Report


Investment Trend

Who is Investing


Sub Sector Analysis


Useful Links

Company List

Team

43

43


Grocery Tech - India – Company List

DETAILS CLOSE TO 585 FOUNDED AND 30 FUNDED COMPANIES AND

COVERS THE FOLLOWING SEGMENTS IN GROCERY TECH – INDIA SECTOR

Horizontal Fruits & Vegetables FMCG & Staples Meat & Seafood Dairy Products B2B Others


Horizontal (1/100)

Company Details Funding Investors

Marketplace

Grofers [Delhi, 2013]: Provides delivery network services connecting local merchants to their customers. Was aB2B solution and is currently allowing consumers to order products from local merchants for home deliverythrough Grofers (Nov 2014). Company has shifted base to Singapore, the India operations will be controlled byGrofers India (GIPL), a 100% owned subsidiary of Singapore-based Grofers International. The company provideshome delivery service from chemist, grocery, bakery and other local shops. The company sends a team to takephotos of products and upload them to its platform. Service is available in 9 Indian cities. Claims to havepartnered with 250+ local merchants and processing 33,000+ orders every month with a fifth of those ordersplaced through its mobile apps and generates 20 new leads per outlet every month as of Feb 2015. Doing 6000orders everyday as of June 2015. Has around 700 delivery guys. Offers an Android based app on GooglePlaystore. Part of Locodel Solutions Pvt. Ltd. Acquired mobile first groceries startup MyGreenBox in April 2015.Partnered with Happay in July 2015, will disburse cash to its delivery executives through Happay’s card.Happay’s technology would enable Grofers track and approve expenses, load or withdraw money, set limits andmanage cards using a dashboard and mobile app. In talks of raising upto $200M from Softbank, DST Global,Tiger Global and Sequoia. Varun Khurana, chief technology officer (CTO) has resigned from the company.

$165MSequoia Capital, Tiger Global

Management, SoftBank

Marketplace

PepperTap [Gurgaon, 2014]: PepperTap is mobile app for shopping groceries, fruits and vegetables. Hyperlocaldelivery business model, similar to InstaCart. Connects directly with local vendors and supermarkets to fulfillorders. Also has a web based online store. Guarantees delivery within 2 hours and takes a cut between 5-15% ofthe total billed amount. Serving across all locations in Gurgaon. Has 10k+ mobile downloads. Founders IIM-A, ex-Delhivery. Raised $10M from Sequoia Capital in April 2015, which it will invest in building a team of over 500employees by mid-2015 and expand to Mumbai, Pune, Hyderabad, Bangalore and Chennai in next 3-6 months.Company now delivers 600+ orders across Gurgaon, Dwarka (Delhi) and Greater Noida on a daily basis and doesover 1.5 crore GMV on a monthly basis. Acquired Jiffstore for an undisclosed amount in December, 2015. Shutdown its operation in Apr'16 and plans to pivot to full stack logistics space

$51.2MSnapdeal, SAIF Partners, Sequoia

Capital, JAFCO Asia, ruNet, InnoVenCapital, Beenext


http://www.grofers.com/

http://www.peppertap.com/


Horizontal (2/100)


Marketplace

ZopNow [Bangalore, 2011]: ZopNow offers an eCommerce platform for grocery delivery to homes in differentslots. Categories include kitchen groceries, house cleaning, food and beverages, bathroom and bedroomproducts. Pivoted from managing own inventory to sourcing supplies from supermarket chains HyperCity andMore Megastore. Once customer places an order, the company’s runner executives in the store picks/packs anddelivers the goods in less than three hours to the customer. The company is further in talks with other offlineretailers to implement a similar model. Launched in September 2011. Available in Bangalore, Navi Mumbai,Hyderabad and Pune as of April 2015. Has mobile apps for iOS and Android. Raised series A funding led byDragoneer Investment Group with participation from Accel Partners, Qualcomm Ventures and Times Internet inApril 2015 to expand to over 15 cities. Launches its operation in Mysore as of December 2015.

$12MAccel, Qualcomm Ventures, Times

Internet, InnoVen Capital, Dragoneer Investment Group

Marketplace

Nukkad Shops [Hyderabad, 2015]: Nukkad Shops is a mobile app which lets users order groceries from localstores, within 2KM radius. Have a point-of-sales (POS)-based system – comprising of a 10-inch tablet, an in-builtthermal printer, barcode scanner and a cash drawer at the heart of the app, which is compatible with androidand iOS-based mobile devices. This also helps them digitize entire inventory and make it accessible for all thecustomers. Claims to be live in 180 grocery stores with 20,000 active users, with an average basket size beingINR 250. Claims to deliver within 30 minutes. As of March 2016, Offering its services in selected parts ofHyderabad. Raised $1M funding from PurpleTalk Inc. Plans to provide online bus ticket booking, and also leadsgeneration to banks through the retailers.

$1M PurpleTalk


http://www.zopnow.com/

http://www.nukkadshops.com/


Horizontal (3/100)


Marketplace

iOrderFresh [Gurgaon, 2014]: iOrderFresh provides doorstep delivery of farm fresh fruits and vegetables.Mobile only with apps for Android and iOS. 10k+ installs as of April 2015. Claims to have grown from 25kregistered customers to 50k in last four months (Aug 2015). Catering to Delhi/NCR. Raised $1M in seed fundingfrom Best Foodworks, an investment company led by Alkesh Tandon, son-in-law of Yes Bank promoter andmanaging director Rana Kapoor.

$1M

Marketplace

LazyLad [Gurgaon, 2015]: LazyLad allows user to order products such as fruits, vegetables, groceries, stationery,flowers etc. from near by stores. Local retailers can upload and update their inventory on the platform. Claimsto provide delivery within 90 minutes and real time order status tracking. Has 70 service providers on itsnetwork across six categories and is serving 25 orders a day as on May 2015. Part of GreenHouse VenturesAccelerator programme. Raised $500k funding from Singapore based M&Y Partners, Tekton Ventures' founderand managing partner Jai Choi and Japan-based Sugashita Partners' Kiyohiro Sugashita, who has invested in anindividual capacity. Shut shop in June 2016.

$600k GHV Accelerator

Marketplace

Jiffstore [Bangalore, 2013]: mCommerce platform that helps small supermarkets and kirana stores to sellgrocery online. Stores can also manage customer loyalty, discounts, campaigns and get customer analytics.Customers can view stores close to their location and order listed items on the go from the mobile app.Incubated at Times Internet. Received undisclosed amount of funding from Unitus Seed Fund in May 2014.Clocking 200 transactions a day. Acquired by Peppertap in December 2015.

$16kTLabs, Times Internet, Unitus Seed

Fund

Marketplace

KiranaSales [Bangalore, 2013]: KiranaSales.com is an online grocery marketplace portal developed andoperated by Bhavitha Retail Solutions Pvt Ltd. The platform connects local supermarkets and customers toenable online buying of product categories such as baby care, vegetables, fruits etc. Also provides backendintegration with supermarkets with billing PoS.

Marketplace

Flipkart Nearby [Bangalore, 2015]: Flipkart Nearby delivers groceries, personal care products, health andwellness products, baby care products, snacks, beverages and household supplies from local stores tocustomer's doorstep. Currently catering to select areas in Bangalore.


http://www.iorderfresh.com/

http://www.lazylad.com/

http://www.jiffstore.com/

http://www.kiranasales.com/

http://www.nearby.flipkart.com/


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Fruits & Vegetables (1/11)



FMCG & Staples (1/2)



FMCG & Staples (2/2)



Meat & Seafood (1/7)



Dairy Products (1/3)



B2B (1/5)



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B2B (3/5)



B2B (4/5)



B2B (5/5)



Others



Scope of Report


Investment Trend

Who is Investing


Sub Sector Analysis


Useful Links

Company List

Team

174

174


Team

Bindu Reddy

Lead Analyst, Consumer Digital India

Naga Chaitanya

Analyst, Consumer Digital India

Tracxn Research: Grocery Tech India Landscape, August 2016

Data & Analytics

Transcript of Tracxn Research: Grocery Tech India Landscape, August 2016