Malaysia-based social commerce platform AVANA on Thursday announced that it has raised $1 million in a pre-Series A round led by Gobi Partners.
The round was joined by TH Capital and return backer Cradle Seed Ventures.
Founded in 2016, AVANA targets micro, small and medium enterprise (MSME) sellers that want to ride the e-commerce wave to grow their businesses. Its users can set up, start and sell from their online stores integrated with Facebook while managing their customers’ orders and processing payments in one place.
“Social e-commerce is taking off in ASEAN, counting for 30% of digital sales in Southeast Asia. The region’s young population, speedy smartphone and social network adoption is driving this growth. ASEAN is well positioned for social e-commerce, and AVANA’s all-in-one platform, as well as their focus on smaller, MSME businesses, is sure to position them as a key player in this fast-growing market,” said Gobi founding partner Thomas G. Tsao.
The startup said it plans to use the latest funds to tap the 3.5 million MSME sellers in Malaysia, who make up 70 per cent of the market, that are yet to penetrate the e-commerce market. AVANA also plans to expand its presence in Indonesia, where it did a soft launch of its services in October last year.
Another focus area for the company would be to enhance its platform to provide more sales channels integration in order to target a broader pool of MSME sellers, a statement added.
AVANA has partnered with POS Malaysia, MYNIC, and MDEC as well as POS Indonesia and JNE Indonesia. The startup had last raised RM2 million ($498,274) from Cradle Seed Ventures and Captii Ventures in 2016.