Arzooo.com raises Pre-Series A funding of USD 1 million
Arzooo.com, India’s fastest growing retail technology venture, powering physical retailers to compete and grow against their online peers, has raised USD 1 Million Pre-Series, a funding led by Jabbar Internet Group, that founded Middle east’s largest e-commerce platform Souq.com and a consortium of investors from India and United Kingdom.
Arzooo’s tech platform ‘Go Store’ is the unique technology offering that solves the big problem of selection, price and complex supply chain and sourcing for Offline retailers.
With this platform, Arzooo.com is equipping the physical retailers to compete and grow in the age of Amazon and Flipkart. It enables a partner store to offer its customers the largest selection, best prices and fastest delivery, without them having to stock every item.
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 per cent 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 5,00,000 retailers by 2022.
The company currently has 500 partner stores on its platform and intends to own 20 per cent of the consumer electronics market share by 2020.
The online marketplace comprising 7-8 per cent 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 face 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.
With the fresh infusion of pre-series A funds, Arzooo.com plans to expand its geographic presence pan India. Today the company has physical retailers on-board across 3 major cities of Bengaluru, Hyderabad and Chennai. The company will invest a sufficient portion of the funds in product enhancement, new talent recruitment and improvement of Go Store technology to encompass wider network of cross sector retailers.
“We have witnessed tremendous impact of Internet into commerce and how it changed the shopping behaviour for consumers, but despite a widespread application of technology, the Offline Retail has been, for the most part, untouched or did not benefit as much. With Arzooo Go Store, we have made an immediate and measureable impact to physical retailers. Not only are our retailers empowered with increased earnings, they are now put on the same pedestal to compete with the ecommerce giants”, said Khushnud Khan, Co-founder and CEO, Arzooo.com.
“This fresh round of funding will give us impetus to better solve the challenges faced by retail partners, expand to newer geographies while constantly innovating our disruptive technology offering”, he added.
“Arzooo.com and its leadership team have understood the deep rooted problems of the physical retailers limiting growth, against the backdrop of rising e-commerce today. Addressing key challenges of selection and price in consumer electronic retail segment, Arzooo.com is at the cusp of revolutionizing the space. We are confident that the Arzooo Go Store technology when integrated across a broad category of retail will have a positive impact on economies of scale. Backing this venture, we foresee a disruption in physical retail in India with an immediate impact on sustainable business in the traditional format of onground touch and feel sales, better leveraged by technology”, said Hussam Khoury, President, Jabbar Internet Group, UAE. (ANI)