Online automobile marketplace Droom raises Rs100 crore from Lightbox
New Delhi: Online marketplace for automobiles Droom, run by Droom Technology Pvt. Ltd, has raised Rs.100 crore in fresh funds led by venture capital firm Lightbox, the company said in a statement on Thursday.
Founded by serial entrepreneur Sandeep Aggarwal in 2014, Droom will use the money to expand its operations within the country and overseas.
Singapore-headquartered Droom plans to expand into Southeast Asia by early 2016.
Droom, which currently operates in 13 automobile categories including auto services with 1,000 sellers and 6,000 listings, plans to add 20 automobile and 12 service categories, hosting over 50,000 sellers and 200,000 listings in the next 18-24 months, the company said. It has seen over 3,000 transactions so far.
This is Aggarwal’s second venture after he founded online marketplace Shopclues in 2010.
“The automobile market in India is worth $125 billion, making it the third largest industry in the world with a demand for used cars spanning two wheelers to luxury cars. The current buying traditions however deliver an unsatisfactory and dubious experience devoid of regulation or a scientific approach, especially when it comes to buying online. Droom offers an unparalleled advantage for buyers on trust, pricing and selection. For our sellers, we provide low transaction cost, advanced online seller tools and scalable platforms. The recent investment from Lightbox and participation by all of our existing major investors allows us to aggregate the automobile industry at a scale which has not been achieved so far by anyone,” Aggarwal said.
“Droom is finally disrupting an industry where user behaviour hasn’t changed since the advent of the Internet in the country,” said Sid Talwar, partner, Lightbox.
Droom currently has a team of over 85 people in Gurgaon and Silicon Valley in the US.