Retail-tech company, Arzooo invests $2 million, forays into logistics


Arzooo, a retail-tech company, announced the launch of its in-house logistics service, Arzooo Express that will manage logistics from first mile service to last mile delivery of goods for its partner stores across the country.

Arzooo Express has been launched with an investment of $2 million. This investment came after the recent $6 million funding raised by Arzooo from Trifecta Capital. Besides having a fleet of vehicles plying around cities, the company has an end-to-end technology platform to manage its supply chain on a real-time basis. In first phase it will be serving 10,000 pin codes across the country with a fleet of trucks.

The new service will help Arzooo improve it’s serviceability, speed of delivery, expand it’s pay on delivery option to larger network along with efficiency in its supply chain operations.

By the end of 2021, Arzooo aims to double its logistics service capability to serving 20,000 pin codes across India with 3x larger fleet on ground and state of the art supply chain technology. At present, the logistics service will serve Arzooo’s own client base. However, the company may plan to extend Arzooo Express platform as a third party service provider in near future.

In a statement, Khushnud Khan, co-founder & CEO Arzooo said, “We aim to deliver a level of service for our retailers that’s faster and reliable when it comes to the turnaround time but with a fragmented network of logistics ecosystem with limited capabilities to handle large appliances it is hard to achieve the speed and quality of service.”

India has about 12 million retail outlets where the logistics service is the spine for running the business enabling to and fro movement of goods. According to the Indian Brand Equity Foundation (IBEF), India was ranked second in the 2019 Agility Emerging Markets Logistics Index and the country’s logistics sector was growing at over 10% each year.

READ  Jim Cramer breaks down The RealReal's IPO and explains the right time pull the trigger

So far Arzooo has raised about $15 million of capital. This includes Series A round of $7.5 million funding led by WRVI Capital along with its existing investors in October 2020, followed by the investment from ZOOM video founder Eric Yuan, this was his first ever investment in an Indian start up. Arzooo secured another $6 million from Trifecta Capital earlier this year.

(The one-stop destination for MSME, ET RISE provides news, views and analysis around GST, Exports, Funding, Policy and small business management.)

Download The Economic Times News App to get Daily Market Updates & Live Business News.



READ SOURCE

LEAVE A REPLY

Please enter your comment!
Please enter your name here