Melorra, e-commerce based jewelry designers and seller has secured $5 million in seed funding from a venture capital firm Lightbox. It is considered to be one of the largest ever seed funding raised by an Indian venture in the recent years.
Founded in 2015, the startup Melorra targets the urban Indian women by developing, designing and retailing contemporary jewelry through its mobile app. Based in Bengaluru and run by August Jewellery, the app is available on iOS and is expected to roll out an Android app by the end of the month. It plans to launch its online portal in the next two months.
The founder Saroja Yeramilli who was former Tanishq and Dell senior executive said, “Our vision is to developa brand from the millennial generation. The precious and high-end jewellery market has not changed at all in years. The designs are not relevant for a modern woman’s wardrobe.” The designers of the startup are based in India and abroad. It has partnered with Sequel Logistics for delivering its products and has two warehouses in Jaipur and Mumbai.
With the fresh funds raised, Melorra plans to attract talent, build its brand and enhance and make improvement on its technology platform. There are around 40 employees in the team and it making efforts to build it further.
Siddharth Talwar, co-founder and partner at Lightbox Ventures said, “Jewellery largely has been traditional and the industry has not evolved with the evolving woman’s fashion in the country. Melorra is looking to change that. The problem with offline brands is distribution and for online brands distribution is a headache; Melorra is trying to solve that problem with technology. Also offline brands have not been able to do something on low-price points.” This is Lightbox’s first seed investment in any startup. It is a $100 million fund largely targeted on early-stage consumer technology businesses. It has also invested in many companies like Faasos, Droom and Furlenco.
According to Melorra, the fine jewelry market is currently pegged around $8-10 billion. The India jewelry market is estimated to be over $60 billion and is the third largest in the world. Yeramilli added, “About 100 million women are estimated to shop online by 2020, and the jewellery category has not been the most exciting till date. The segment is where the online apparel retail was two years ago, and therefore, the opportunities are unbelievable.”