The Hyperlocal delivery start-up was started in July 2014 as a small WhatsApp based service by Kabeer Biswas. The customer would type what they wanted to get done and Dunzo would get it done. After that, they moved on to messaging but now everything is managed by their own Dunzo App. Due to high demand and functionality problems such as tracking, online payment, etc… made Dunzo move to an app. Hoopr a location-based couponing start-up was also started by Kabeer, Co-Founder, and CEO of Dunzo in 2014 and acquired by Hike. Dunzo works on the principle of making things available to people in the quickest time possible. Dunzo provides delivery services in Bangalore, Pune, Gurugram, Hyderabad, New Delhi, Chennai, Jaipur, Mumbai with its headquarters in Bangalore.
Dunzo raised seed funding of $6,50,000 from Aspada, Sandipan Chattopadhyay, Rajesh Dembla, Rajan Anandan, and Karthik Reddy in March 2016. Just after 7 months Kabeer manage to raise his series A funding of $1,180,000 from his existing investor Aspada.
Dunzo now has 2 million total monthly transactions and retention rates of 80-85% according to YourStory.
How Dunzo operates?
Suppose you forgot your accessories like a home key or mobile phone at your office Dunzo will deliver those items at your doorsteps. If you want anything from any store Dunzo will deliver you those things at your doorsteps. Dunzo’s current services are:
How Dunzo got Google an Internet giant as an Investor?
The day to day operations was becoming difficult for Dunzo. In Dunzo’s case, it was taking much more time than usual. The start-up was in a need of an ample amount of funds to make hyperlocal much stronger as to hire tech capabilities, product managers, and engineers. However, Dunzo needed growth capital. Eventually, Dunzo become popular in the nation when it received a funding of $12.3 million from Google. It was the first direct investment of Google in India for the start-up. Google spokesperson said.
“We are very energized by the Indian start-up ecosystem, the entrepreneurs, and the talent pool in India. We will invest as and when we spot the right opportunity. We have nothing else to share at this time.”
Dunzo during COVID-19:
The essentials goods orders during lockdown have doubled. The average order value has been 4x increased. To provide safety to the customers and delivery staff Dunzo provides a mask, sanitizer, gloves, test of delivery staff.
“Partners working with other platforms, which don’t have much demand, are now are looking at Dunzo. Earlier, they would walk into the office with their documents, and learn the workings on the go. Now, they send all their documents online, and we send them a digital version of how the partner app functions. This has led to an influx of new partners.”
“As we see a rise in demand for essentials, we are powering the tech to enable higher transaction volumes while maintaining the speed and efficiency of our promised delivery timelines.”Anirban Das, Head of Product, Dunzo, added
“Dunzo is keeping people indoors and helping them stay safe. Our delivery partners are braving the streets to ensure people have access to daily essentials, from groceries to medicines. As they do, we are constantly improving and abiding by prescribed health measures and ensuring that the safety and security of delivery partners and their families are taken care of,” Kabeer said.