Delhi-based Jaypore, an online platforms for contemporary Indian apparel, jewelry and home decor, has raised $5 million in its first round of institutional funding led by Aavishkaar. The platform will deploy the funding to scale up its technology infrastructure, brand building and team expansion.
Launched in 2012 for the US market followed by the global launch later, the platform claims to build itself on the Indian heritage of quality craftsmanship, well curated collections, authenticity and a unique design aesthetic for a delightful all-round customer experience.
“We are encouraged by the multi-fold increase in demand from our audience in the current year, and will continue to focus on expanding the product offering including our own Jaypore private label. The funds secured now will be used primarily for investment in scaling up the technology platform, hiring quality talent and brand building,” says Puneet Chawla, CEO, Jaypore.
He adds that Jaypore aims to be the leader in this segment with high quality products and processes that enable consumers to have access to traditional Indian crafts with a contemporary rendering.
Noshir Colah, Partner at Aavishkaar believes that the following reasons differentiate Jaypore from the marketplace model:
- Strong founding team,
- Highly efficient execution,
- Clear focus on unit economics
According to the India Retailing website, India’s ethnic wear market stood at $13,100 million in 2013. This is expected to have grown, and continue to grow, at a CAGR of eight percent to reach $19,600 million in 2018.
In this segment, online players are showing a strong interest. Besides Jaypore, players like C-Bazaar, IndianRoots, UtsavFashion and many others are competing with each in the market; and all have the same target – NRI audience. According to the government data, over 23 million Indians reside outside of the country and they have more purchasing power (given their income) than domestic residents.
The development is a good news for the industry, as it serves the demand of the market and give work to many artisans and craftsmen of the country.