Mumbai-based Box8 raises Rs 21 cr in series A funding from Mayfield
The superheated foodtech space seems to get no break from making news and attracting investments. Mumbai-based on-demand food delivery company Box8 has raised Rs 21 crores in series A funding from Mayfield (headquartered in Silicon Valley). Started as Poncho in 2011 serving only Mexican dishes in the quick service format, the company expanded its menu and rebranded(to Box8) in July 2012. The co-founders Amit Raj and Anshul Gupta, both IIT alumni aim to make their company the go to option for anyone wanting to order great tasting food.
Box8 is currently present in Mumbai and has 22 delivery units across the city. With over 2,000 transactions per day, Box8 has grown 10x in the last 15 months. The company’s focus on taste, technology and innovation has resonated well with its customers, as 80% of its daily transactions come from repeat customers. Affordable pricing, popular food choices and Indian cuisine has resonated well with its young urban customer base.
Investment will be used to:
- Build technology,
- Team expansion, and
- Deepen market penetration.
New funds will also be deployed to aggressively increase Box8’s footprint across other Indian cities. The company has over 30 IITians in the team and is keen to hire more of such talented individuals from different backgrounds. Anshul says,
Execution is the key to the success of this business and we want to build a team which focuses on getting the job done.
The funds raised will be used to build a seamless customer experience across its mobile and web platforms. Currently, over 50% of Box8’s orders come through the mobile phone. Its integrated delivery management system guarantees fresh hot food is delivered each time.
Box8 started compact All-in-One meal box which is one of its best-selling items. Keeping in mind the hectic and fast paced life of the Indian consumer, these meal boxes pack an elaborate Indian meal in a compact manner offering convenience to the consumers. Living by the strategy of constant product innovation coupled with Indian flavors, Box8 has given an Indian twist to wraps and sandwiches. The company’s strength lies in its strong development team which comprises of experienced chefs from ITC and Marriott Hotels.
Amit says,
We keep only one thing in mind when we make our food; that we would only serve food that we enjoy eating. Food is a tricky business. It has many moving parts and is very personal to customers. We want our customers to keep coming back to us and therefore making the end-to-end experience frictionless for our customers is very important. We manage the technology, product and delivery therefore allowing us to have complete control over customer experience.
Prior to the investment by Mayfield, Box8 has received funding from Kaushal Aggarwal of Avendus Capital, Dheeraj Rajaram of MuSigma and Indian Angel Network after going bootstrap for some time. Nikhil Khattau of Mayfield believes that Box8’s focused and innovative approach on product and technology is what differentiates them. He mentioned that the founders are smart and energetic and have done well to build a strong core team which gives them an edge in this market.