An Indian hyperlocal startup, ShadowFax raises $8.5m in Series A funding

By | September 14, 2015


ShadowFax, a hyperlocal tech startup backed by Snapdeal founders has raised $8.5 million in Series A round of funding led by Eight Roads Venture, a Fidelity’s proprietary investment arm.

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Founded in April 2015, the Delhi-based ShadowFax follows a hyper-local model with service-delivery restricted to eight kms in Delhi-NCR, Mumbai and Bengaluru. The startup uses technology as a key enabler to drive operational efficiencies and develop client stickiness with merchants. With its services, the company intends to replace the existing model of service-delivery in the country. In a short span on 5 months, the company has spread across 3 cities. With the key focus on service quality, the startup claims to delivery 95% of the orders in less than 15 minutes from pick up.

CEO and co-founder of ShadowFax, Abhishek Bansal said, “India has  over 10 million local merchants. With increasing number of consumer facing hyper-local platforms, most of them seek to serve their consumers directly in their homes to expand their business. Due to lack of third-party logistics options, the merchants themselves cater to the logistics by employing in-house personnel, which is inefficient and not scalable. The market need has led to the growth of specialist express delivery services, that are able to aggregate and meet demand the delivery requirements. We at Shadowfax are building the fastest and the most efficient delivery network to meet the market requirement across categories, using our proprietary technology and operational excellence.”

The Delhi-based startup has also developed an app which would help them track the movement of the delivery boys and assure timely delivery of services. Its features like automatic rider scheduling, seamless app communication, instant feedback and geo-based tracking are offered through the app.

Though the company’s current focus is on the restaurant industry, with the fresh funds it plans to expand into other verticals like grocery, bakery, pharmaceuticals and e-commerce. It also has plans to start operations in various other cities. As part of the funding round, Kabir Narang has joined ShadowFax’s board of directors.



Kabir Narang, Managing Director at Eight Roads Ventures comments, “We have been actively looking at opportunities in logistics tech and are excited to partner with ShadowFax and its exceptional management team. ShadowFax provides a unique and compelling value proposition to local merchants and helps them reach consumers by providing reliable last mile delivery support. We believe hyper-local commerce is at a tipping point and logistics players serving this market are poised for sustained growth over the next several years. ShadowFax is an early mover and is well positioned to dominate the market.”

 



Founded in April 2015, the Delhi-based ShadowFax follows a hyper-local model with service-delivery restricted to eight kms in Delhi-NCR, Mumbai and Bengaluru. The startup uses technology as a key enabler to drive operational efficiencies and develop client stickiness with merchants. With its services, the company intends to replace the existing model of service-delivery in the country. In a short span on 5 months, the company has spread across 3 cities. With the key focus on service quality, the startup claims to delivery 95% of the orders in less than 15 minutes from pick up.

CEO and co-founder of ShadowFax, Abhishek Bansal said, “India has  over 10 million local merchants. With increasing number of consumer facing hyper-local platforms, most of them seek to serve their consumers directly in their homes to expand their business. Due to lack of third-party logistics options, the merchants themselves cater to the logistics by employing in-house personnel, which is inefficient and not scalable. The market need has led to the growth of specialist express delivery services, that are able to aggregate and meet demand the delivery requirements. We at Shadowfax are building the fastest and the most efficient delivery network to meet the market requirement across categories, using our proprietary technology and operational excellence.”

The Delhi-based startup has also developed an app which would help them track the movement of the delivery boys and assure timely delivery of services. Its features like automatic rider scheduling, seamless app communication, instant feedback and geo-based tracking are offered through the app.

Though the company’s current focus is on the restaurant industry, with the fresh funds it plans to expand into other verticals like grocery, bakery, pharmaceuticals and e-commerce. It also has plans to start operations in various other cities. As part of the funding round, Kabir Narang has joined ShadowFax’s board of directors.

Kabir Narang, Managing Director at Eight Roads Ventures comments, “We have been actively looking at opportunities in logistics tech and are excited to partner with ShadowFax and its exceptional management team. ShadowFax provides a unique and compelling value proposition to local merchants and helps them reach consumers by providing reliable last mile delivery support. We believe hyper-local commerce is at a tipping point and logistics players serving this market are poised for sustained growth over the next several years. ShadowFax is an early mover and is well positioned to dominate the market.”