In January this year, the Gurgaon-based startup had raised $3 million in a Pre-Series A round led by Unilever Ventures Ltd, the investment arm of consumer packaged goods company Unilever Plc. Prior to that in August 2017, it had raised funding of an undisclosed amount from Blume Ventures, Lenovo Capital and Incubator Group (LCIG).
Founded by INSEAD alumnus Anant Goel with his co-founders Ashish Goel, Anurag Jain and Yatish Talvadia in 2015, Milkbasket delivers essential grocery items such as milk, bread, eggs and butter at the doorstep.
The company plans to use the latest funding round to enhance its supply chain efficiencies and last mile logistics, better its customer experience, and expand into other geographies while penetrating deeper in existing communities.
According to Teruhide Sato, founder of BeeNext the investment will accelerate Milkbasket’s ability to build scale in India.
In an interview to Mint earlier this year, chief executive Anant Goel said, Milkbasket had plans to expand into Pune, Bengaluru, Hyderabad, and Noida. And it aimed to expand into one market every 12-18 months.
The online grocery delivery space in India has seen its share of ups and downs in the last few years. Even though a number of startups dabbled in this space, many of them have either exited the market fully or downsized operations. The most prominent was the shutdown of Snapdeal-backed grocery delivery company PepperTap in 2016, as it failed to raise the requisite funds.
The significant players in the grocery delivery space currently are BigBasket and Grofers. E-commerce giant Amazon also operates grocery delivery in some cities in India under its Amazon Pantry service. Flipkart also re-launched a grocery option on its online market place in November 2017.
“This funding will help us to continue investing in the 3Ts that we hold close to our hearts – talent, technology and territory, and in achieving our vision to create the most convenient grocery fulfillment model for today’s busy households,” Anant Goel, CEO at Milkbasket said.