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Exclusive: Flipkart may foray into astrology with InstaAstro takeover

EntrackrEntrackr · 5m ago
Exclusive: Flipkart may foray into astrology with InstaAstro takeover
Medial

Exclusive: Flipkart may foray into astrology with InstaAstro takeover E-commerce giant Flipkart is exploring an entry into the astrology and devotion sector through a potential acquisition of astrotech startup InstaAstro. While startups in this niche have attracted substantial funding over the past year, this move would represent a significant step toward consolidation in the emerging space. "InstaAstro has been seeking buyers for the past few months, with Flipkart emerging as one of the leading contenders for the acquisition," said a source on condition of anonymity. "The Walmart-owned company may spend anywhere between $18 to $25 million, including cash and stocks, for the acquisition." Backed by the likes of Artha Venture Fund, LogX Ventures, Singularity Ventures, Blume Founders Fund, and Ramakant Sharma’s LogX Ventures, InstaAstro has raised around Rs 21.7 crore ($2.6 million) across two funding rounds since its inception in 2021. Flipkart may rebrand InstaAstro to “Sukh” post acquisition, said sources. Founded by Nitin Verma, InstaAstro offers horoscopes, tarot readings, and numerology in English, Hindi, and various regional languages. After the latest funding, the startup also launched new spiritual e-commerce, daily pooja, and reiki healing services. “Flipkart had engaged in talks with a couple of startups in the astrology and devotion space. However, those talks didn’t work out,” said another source who also wished not to be named as the talks are yet to be public. Queries sent to Flipkart and InstaAstro on Wednesday evening remained unanswered at the time of publication. InstaAstro’s revenue from operations surged nearly 2X to Rs 25 crore in FY24 from Rs 12.96 crore in FY23. As per TheKredible, its losses also jumped at a similar pace to Rs 8.11 crore from Rs 4.26 crore in FY23. Sources assert that InstaAstro has an average revenue run rate (ARR) of Rs 50-60 crore. InstaAstro competes with GaneshaSpeaks, AstroTalk, Click Astro, Astroyogi, and Bodhi. Among them, AstroTalk leads in both funding and profitability. The Puneet Gupta-led company reported a revenue of Rs 651.12 crore in FY24, with a profit of nearly Rs 100 crore, and aims to reach Rs 1,250 crore in revenue for FY25. Data from TheKredible reveals that startups in the astro and spiritual tech sector, including AstroTalk, Vama, Ustav App, DevDham, InstaAstro, and Melooha, have collectively raised more than $65 million over the past 18 months. The sector also saw consolidation as BrahmVeda acquired Vedvaani and Melooha took over Munitalks.

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InstaAstro raises $2.3 Mn led by Artha Venture Fund

EntrackrEntrackr · 1y ago
InstaAstro raises $2.3 Mn led by Artha Venture Fund
Medial

Online astrology platform InstaAstro has raised Rs 18.50 crore in its pre-Series A round led by Artha Venture Fund. The round also saw participation from LogX Ventures, Singularity Ventures, IR Capital Partners, Blume Founders Fund and Aloke Bajpai, MD & CEO of Ixigo. In November 2021, InstaAstro had raised Rs 3.2 crore in a seed round led by Artha Venture Fund along with Ramakant Sharma’s LogX Ventures. With fresh funds, InstaAstro is launching new spiritual e-commerce, daily pooja, and reiki healing services. As per the company, these offerings would deepen the platform’s user engagement and provide access to a comprehensive spiritual and astrological guidance ecosystem. Founded by Nitin Verma, InstaAstro claims to have over 200,000 monthly app installs, 50,000 minutes per day in consultations, and an ARR of $5 million. It offers horoscopes, tarot readings, and numerology in English, Hindi, and various regional languages. The startup has a total user base of over 5 million users and provided a cumulative consultation of more than 2 crore (20 million) minutes to its subscribers in FY24. The firm has 1,500 astrologers on its platform. It competes with GaneshaSpeaks, AstroTalk, Click Astro, and Bodhi. In the past 12 months, a clutch of astro and spiritual tech startups raised funds. The list included AstroTalk, Vama, Utsav, DevDham (previously DevDarshan), and Melooha. As per Entrackr’s sources, Bodhi is also in talks to raise a new round. AstroTalk had raised the largest funding ($20 million) among the astro and spiritual tech startups.

Exclusive: Flipkart to take on Zepto, Blinkit with quick commerce foray

EntrackrEntrackr · 1y ago
Exclusive: Flipkart to take on Zepto, Blinkit with quick commerce foray
Medial

The quick commerce sector is all set to heat up once again as India’s e-commerce giant is now eyeing the segment. Flipkart has started ramping up infrastructure for its quick commerce play, three sources aware of the details of the plan told Entrackr. “Flipkart will launch 10-15 minutes delivery in at least a dozen cities in the next six to eight weeks,” said one of the sources requesting anonymity. “It’s building up a chain of dark stores across several cities including Bengaluru, Delhi (NCR) and Hyderabad among others.” Flipkart’s foray into quick commerce comes at a time when experts anticipate that quick commerce would end up eating into the e-commerce pie sooner than later in India. The total addressable market for quick commerce in India is nearly worth $45 billion, according to a 2022 Redseer report. More importantly, quick commerce has proven to be surprisingly resilient in the last couple of years, with both Zepto and Zomato’s Blinkit doing more than enough to convince investors that the concept has a future in India. While Zepto was rewarded with a unicorn round, Blinkit’s (formerly Grofers) turnaround and Swiggy Instamart’s growth have been bright spots in terms of scaling up with improving margins for their owners. “If you look at Flipkart’s recent launches, it hints at the firm’s foray into quick commerce. It launched same-day delivery in 20 cities a couple of weeks ago… the company began delivering flowers and cakes around the Valentine season (February 2024),” an analyst covering the e-commerce and quick commerce segments, requesting anonymity, told Entrackr. Sources indicate that Flipkart will have a wider catalog than incumbents such as Zepto and Blinkit. “The company will have a sharp focus on FMCG, grocery and daily essentials but it would also push categories such as electronics, fashion,” added the person quoted above. It’s worth mentioning that the current quick commerce players have also been steadily expanding and diversifying their offerings. Responding to queries sent by Entrackr, a Flipkart spokesperson said they are working towards delivering a wide range of products with speed. “Over the past few months, we have made several investments to enhance our delivery capabilities, including adding same-day delivery in 20 cities. This covers mobiles, essential items, electronics, home appliances, fashion, books and lifestyle products,” said the spokesperson. “We are committed to meeting evolving customer expectations and delivering excellence in value, selection and speed, with more initiatives expected on this front in the coming months.” Over the past three years, quick commerce gained quick ground in top 15 Indian cities and top three players in the segment—Blinkit, Swiggy Instamart and Zepto—managed to gain sizable scale. Sources outlined that BlinkIt does around 6 lakh orders a day while Swiggy InstaMart and Zepto’s daily volume hover around 5 lakh and 3 lakh, respectively. According to Entrackr sources and data available in the public domain, Blinkit has an average revenue run rate of Rs 12,000 crore in the ongoing fiscal year whereas Swiggy Instamart ARR (read as GMV) stands at around Rs 8,000-8,500 crore. Zepto’s gross merchandise value has neared Rs 7,000 crore. Fresh from its last funding round, Zepto has been noticeably feistier — with a larger catalog and stronger marketing push. Meanwhile, Reliance and Google-backed Dunzo lost its mojo. The firm failed to raise a new round in the past two years and reported only Rs 226 crore in revenue in FY23 with losses of Rs 1,801 crore. As per reports, Flipkart engaged in discussion regarding a potential acquisition of the Kabeer Biswas-led firm. While all that might sound good, the fact that no one disagrees is that the market is not big enough for so many players, making this a matter of staying in power for most. Or perhaps, even newer operating models that might ensure sustainable growth. The broad direction so far, of an ever widening catalog and higher value transactions like electronics items etc, indicates the bleeding will not stop anytime soon.

Exclusive: Infibeam entering UPI payments with new app RediffPay

EntrackrEntrackr · 10m ago
Exclusive: Infibeam entering UPI payments with new app RediffPay
Medial

Infibeam Avenues Limited is planning to enter the unified payments interface (UPI) market with its new payment app, RediffPay, sources aware of the development told Entrackr. This move would position Infibeam Avenues among well-established competitors like PhonePe, Paytm, Google Pay, and MobiKwik in the UPI space. Last month, Infibeam Avenues acquired 54% stake in Rediff.com India, signaling plans to relaunch Rediff.com in its new avatar as a consumer-facing digital financial services aggregator. “Infibeam aims to extend beyond UPI payments with inclusion of insurance, lending, stock trading, and wealth management,” said a source requesting anonymity. In April 2024, Finance Minister Nirmala Sitharaman highlighted that India registered 131 billion UPI transactions worth Rs 200 trillion in FY24. According to a source, Infibeam plans to leverage Rediff’s established user base and brand recognition, combined with its own expertise in digital payments, to drive the growth of its UPI offering. For context, Rediff claims 55 million monthly visits and over 70 million registered email users. Last year, Infibeam acquired a 49% stake in Pirimid Technologies, a capital market trading software provider. The company is working on integrating this capability into its digital payments platform for its domestic and international clients, with RediffPay expected to play a key role in supporting this initiative, as per sources. “Unlike other UPI players who had to start from scratch, Rediff’s existing customer base of millions will give it a significant advantage, coupled with CCAvenue’s strong presence in B2B payments,” said another source. The source added that Rediff’s substantial customer base is expected to provide the app with a ready user base. This foray will also mark Infibeam’s first major foray into the B2C segment, with a focus on consumer payments. Through RediffPay, the company will offer UPI services alongside other financial solutions, including credit on UPI and bill payments. Queries sent to Infibeam and Rediff didn’t elicit any responses till this story went to the press. Infibeam is also developing comprehensive payment technology focused on enhanced transaction security, which could give Rediffpay an edge over competitors. This aligns with Infibeam’s investment in AI through Phronetic.AI. In January, Infibeam roped in Rajesh Kumar SA as the chief executive officer (CEO) of the artificial intelligence business. Currently, PhonePe controls 48% market share by volume in UPI followed by Google Pay and Paytm with 37.3% and 7.21% shares, respectively. While CRED emerged as the fourth largest player in terms of UPI transactions, several new players such as Flipkart, NAVI and BharatPe have also entered the consumer facing payments market.

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