Dukaan, a one-year-old Bangalore-based startup that enables merchants to set up online stores and sell products digitally, said on Monday it has raised $11 million in a new financing round as it looks to broaden its offerings and deepen footprints in the South Asian market.
The new financing round, a Pre-Series A, was led by New York-headquartered 640 Oxford Ventures. Venture Catalyst, HOF Capital, Old Well Venture, 9Unicorns, and existing investors including Light speed partners and Leopard Ventures also participated in the new round.
Ritesh Agarwal of Oyo and Carl Pei of Nothing also invested in the new round, said the startup, which has raised over $17 million to date and is now valued at $71 million.
Dukaan provides individuals with no-code tools to set up digital presence. The process is straightforward and quick, “First you verify your email address or phone number and then you write your business or store name. And that’s it. Your digital store has been created,” said Suumit Shah, co-founder and chief executive of Dukaan, in an interview with TechCrunch.
Once they have set up the store, they can manually add the inventory they have and start selling to their customers. For merchants operating in the grocery space, Dukaan also allows them to take pictures of their inventory and automatically logs them in the digital store. The startup also helps these merchants accept digital payments.
Dukaan ia largely tapping into India’s massive neighborhood market. More than 100 million Indians work in what is locally more popular as kiranas. These stores, in many cases, have been operational for decades