ShopX, an India-based business-to-business startup that helps retailers and kirana store owners in small towns with FMCG labels, has raised a huge investment of US $ 35 million from Fung Strategic Holdings to channel its expansion plans.
Notably, the home-grown company reportedly said on this development that they will boost their offerings and engineering team along with its credit services.
Amit Sharma, Co-Founder, ShopX elucidated that the retailer is seeing credit as a game-changer in this sector. “We will not be providing credit directly but we will make it available through NBFCs. We are also planning to invest excessively in this vertical,” he added.
It is pertinent to mention here that ShopX raised more than US $ 18 million from its previous investor, Nandan Nilekani, who is still actively involved with the company.
Apart from this initiative, Fung Group has invested in JD.com, one of China’s leading retailer to transform retailing with the help of Artificial Intelligence (AI).
As per the statement issued from Fung Group, India’s retail market is set to touch US $ 1.1 trillion in the next couple of years. The company further claimed that more than 90 per cent of the country’s retail sector is made up of small and medium-sized business.
ShopX that is reportedly serving over 12 million small retailers across the nation is enabling everything from ordering to delivery, payments, region-based customer support, etc. ShopX has experienced rapid growth and at present, it covers 50,000 retailers in 300 plus locations across the country.
Furthermore, ShopX has witnessed 20 per cent month-on-month surge over the last few months and expects this surge to go a further 5 per cent in coming time. The company has also turned profitable at the category-level.