Indian internet user base is growing and currently it has an user base of about 250.2 million, but the penetration is low compared to US and UK, but it is growing. So many venture capitalists seen Indian eCommerce space as the best destination for their investments. While e-tailers and online marketplaces attracted biggest chunk of investors and investments in the service based eCommerce space also increased in 2014. Here I am listing 10 most funded service based eCommerce space attracted more than $600 million fund across companies like Quikr, Commonfloor, Ola, Freecharge and others.
Of this cab rental startups Taxiforsure and Ola raised more than $300 million together while the real estate services Commonfloor and Housing together raised about $60 million. Major share of investments attracted by online classifieds site Quikr with $150 million in 2014.
- Popular cab rental service Ola raised $210 million in its series D funding round led by Japan’s SoftBank Internet and Media, Inc and other investors including Matrix Partners India, Tiger Global and Steadview capital. As of now it is the largest cab booking service in India with more than 33,000 cabs on mobile app available for the customers to book from.
- Online classifieds company Quikr has raised $90 million funding round from the investors led by Swedish venture capitalist firm Kinnevik. This is the first direct investment in India by Kinnevik which is the Swedish family-run listed investment firm with the market value of $10.6 billion
- The third biggest ticketsize investment in the service based eCommerce space is also raised by Quikr. This Mumbai based online classifieds site has raised $60 million from the funding round led by Tiger Global Management along with other investors such as Matrix Partners India, Kinnevik, Nokia Growth partners, Omidyar network, Norwest Venture Partners, Warburg Pincus and including eBay Inc.
- India’s leading online restaurant search service, Zomato has attracted over $60 million at the post money valuation of $660 in the round jointly led by Info Edge Limited and Vy Capital with the participation from Sequioa capital and this takes Zomato’s totoal funding to more than $113 million.
- India’s popular cab booking service Ola has raised about Rs.250 crore series C investment from Hong Kong’s hedge fund Standview capital and Sequoia capital. This round of investment is also participated by existing investors Matrix Partners India and Tiger Global. This round of funding pushed Ola into Rs.1000 crore valuation league.
- Another Bangalore based cab booking service Taxiforsure has secured its series C round of funding and attracted $35 to $50 million led by Sameer Gandhi based in Palo Alto, California, along with Helion ventures and Bessemer Venture partners in August 2014.
- Next in the list is Freecharge, India’s leading online platform for recharge, promotions and coupons, utility payments has raised $33 million in series B funding in September 2014. Existing investors including Sequoia Capital along with Sofina and RuNet participated in this round. At present, Freecharge has more than 10 million registered users.
- Online property listing website portal CommonFloor raised $30 million series E funding round from its already existing investor Tiger Global management. It was founded by Sumit Jain, Vikas Malpani and Lalit Mangal in 2007. It has recently acquired Flat.to and is currently in competing with other realty websites Housing.com, 99acres.com and Magicbricks.com
- Another leader in real estate sector Housing.com has secured Rs.115 crore funding lead by Qualcomm ventures and Helion Venture partners and already exiting investor Nexus Venture partners also participated in the round which has valued Housing.com at Rs.300 crore. Helion invested Rs.48 crore, Nexus invested Rs.43 crore and rest has came from Qualcomm ventures.
- Real estate portal CommonFloor has raised Rs.64 crore in the new round of funding led by Accel partner and Tiger Global. This company plans to utilized the amount raised to develop their product further and build on its research expertise in real estate domain and to fuel the growth through new marketing initiatives.