Bengaluru-based B2B ecommerce startup ShopX announced the launch of its tech-powered mobile and electronics stores, ShopX Edge. The company also acquihired omnichannel mobile phone retail brand GabbarDeals, and aims to establish a new class of retailers across Tier I, Tier II and Tier III cities.
Founded by Amit Sharma and Apoorva Jois in 2015, ShopX works with brands across FMCG, electronics, and lifestyle sectors and is keen to build a scalable Operating System for retail, to power merchants and customers. The startup already covers 50,000 retailers across 300 towns, and claims to have recorded a gross merchandise value of Rs 1,000 crore in the last five years.
Speaking about the acquisition and launch, Amit Sharma said: “While the retail sector is growing significantly and moving online, it is important to bridge the gap between online and offline retail sectors. The launch of ShopX Edge signifies the brand's foray in organised, omnichannel retail. We are working towards democratising ecommerce and creating a retail model for engaging economies that benefits retailers, brands, and consumers."
As a part of the deal with Pune-based GabbarDeals, Co-founder Niraj Raka will be joining ShopX as Senior Vice President and Head of Organised Retail. The acquisition also means that ShopX will take possession of all of GabbarDeal's stores and brand partnerships.
"The growing number of online shoppers in cities beyond Tier I makes it crucial for all retailers to expand and reach the next set of shoppers. GabbarDeals envisioned making ecommerce easier for shoppers in Tier II and III cities, and, with ShopX acquiring us, we are moving a step closer to our vision. A company like ShopX provides the right technology platform and scale to take the ecommerce industry forward," Niraj said.
Last August, ShopX had raised $35 million from Fund Strategic Holdings Limited (FSH), headquartered in Hong Kong. Previous to that, the company has also raised $18 million from Infosys Co-founder and angel investor Nandan Nilekani.