AskMe invests $20 mn in online furniture marketplace MebelKart
Firm aims to acquire a significant market share in the fast growing furniture market
- Q2 results: HDFC Bank net profit rises 20.6% to Rs 5006 crore
- Govt, board eye asset sales to turn IL&FS around in six months
- Jet Airways sets jet sale, leaseback plan in motion to raise $800 mn
- Lenders accept ArcelorMittal resolution plan for Essar Steel
- #MeToo: Publicis India sacks executive creative director Ishrath Nawaz
New Delhi: AskMe.com, the online search, listings and deals portal of Getit Infomedia Pvt. Ltd, on Tuesday announced an investment of $20 million in online furniture marketplace MebelKart for a majority stake in the start-up.
The aim is to acquire a significant market share in the fast growing furniture market.
MebelKart will be using this money largely to enter the interior design and modular kitchen business. It will also be investing in technology enhancement such as creating augmented and virtual reality options on its site.
“It is very clear that one of the highest growth category in online space in terms of searches and transaction has been furniture, interior decor, kitchen ware etc.,” Manav Sethi, group chief marketing officer at AskMe, said. “From AskMe standpoint, we always had small and medium enterprises across these categories. We realised that we can also look at an asset which had both merchants and technology available on its platform,” he said.
“Our aim has always been to be one stop destination for all our customers’ needs across varied categories. This investment will further allow both of us to offer enhanced shopping experience to our existing and potential customers,” he added.
“We hope to increase our localization of sellers by building on infrastructure and brand of AskMe,” said Nikhil Saraf, chief operating officer, MebelKart.
In May, AskMe had also made an acquisition of online groceries start-up bestatlowest.com.
Sethi said that the company is now looking at big data and analytics space for possible acquisition/investments.
Currently, the Indian online furniture market has start-ups such as Pepperfry and Urban Ladder.
The furniture market in India is worth roughly Rs.50,000 crore a year, though up to 90% of that is unorganized, according Pepperfry.
MebelKart works with close to 1,000 sellers across India and abroad.
MebelKart was started in December 2012 by Rahul Agrawal, Ranjeet Kumar Vimal and Saraf. It currently claims to have 100,000 products from across categories like home furniture, beds, chairs and recliners, interior decor and sports furniture.
Editor's Picks »
- India to put former top climate change official Rajendra Pachauri on trial for sexual harassment
- Rahul Gandhi hits out at KCR, claims Telangana reeling under debt
- Deve Gowda-Siddaramaiah display rare bonhomie ahead of Karnataka by-polls
- Govt allocates Rs 144 crore to AYUSH ministry for alternative medicines
- Esperanto, A language whose time never came
- Policy rethink and higher volumes to aid container shippers
- DCB Bank delivers a strong Q2 but pressure on margins foreseen
- Havells India: Rising costs give a jolt to profitability in September quarter
- All’s well at Mindtree, except for high client concentration risk
- India’s rising steel demand is making companies starry-eyed