B2B Packaging Solutions Startup DCGpac Raises Funding

B2B packaging solutions startup DCGpac raised $1.5 Mn in a Pre-Series A round led by Venture Catalysts, 9Unicorns with participation from Inflection Point Ventures. 

The funds will be used for building the technology front, marketing, implementing other growth initiatives, and managing the working capital requirements of the startup, as per a press statement.

Founded in 2005 by Suresh Bansal and Seema Bansal, DCGpac is a tech-enabled ecommerce platform offering quality and value for money packaging products to its customers. It offers product lines such as warehouse supplies, raw materials, and corporate products.

DCGpac also raised INR 5 Cr in a funding round in November last year led by Venture Catalysts, and 9Unicorns. 

The packaging startup has raised $2.68 Mn in funding so far since inception, Suresh Bansal, founder of DCGpac told Inc42. 

Since its inception, DCGpac has expanded to more than 12,000 pin codes in India, served over 18,000 MSME/SME customers with a team of 100+ people, and has 3,500+ product stock keeping units and three fulfillment centers. 

Its B2B clientele includes some of the well-known brands including Puma, Blinkit, Zomato, and DTDC. It also serves micro small and medium enterprises and individual customers.

“The packaging industry has evolved and so has DCGpac where it not only focuses on offering a variety of products with a varied range of customisation options but also ensures same day shipping to large and MSME customers. Since its inception, they have sold more than 200 Mn products, enjoying revenue growth of over 15% month-on-month,” said Mitesh Shah, cofounder, Inflection Point Ventures.

With the fundraise, DCGpac expects to scale its growth with a major emphasis on technology development, leveling the entire packaging process and making it seamless, Shah added.  

DCGpac claims to solve the problem of inconsistent packaging quality, need for variety, customisation, value, and sustainable packaging solutions. 

It ensures a smooth process of the supplier, seller/reseller onboarding, packaging, on-time delivery, and integrated customisation workflows. They have supply chain partners in every mile. Every participant is fully connected and incentivised.

Meanwhile, Inflection Point Ventures, which launched $50 Mn VC fund Physis Capital in March 2022, has invested more than INR 385 Cr across over 115 deals.

Meanwhile, DCGpac competes against Vistaprints, Bambrew, Bizongo, among others in the packaging segment. 

Further, Bengaluru-based green packaging startup Bambrew picked up $2.35 Mn in its Pre-Series A round in January 2022. The fresh investment was led by Blue Ashva Capital and Supack Industries.

Bizongo raised $110 Mn in its Series D round in December 2021 led by Tiger Global at $600 Mn valuation.

Furthermore, the packaging market size in India is expected to increase by $15.80 Bn during 2021-2025, registering a CAGR of about 5% during the forecast period, according to a report by Technavio.