Bengaluru-based micro-delivery startup DailyNinja has continued with its expansion spree outside of its headquarters while following the acquisition route. The company is currently targeting a deeper penetration in Hyderabad, which has resulted in two consecutive acquisitions.
After acquiring Hyderabad-based 4amShop in August 2018, DailyNinja has now acquired another startup operating in the same segment – WakeUpBasket – in a cash and equity deal. Founded in 2015 by Satendra Pratap along with Sai Varaprasad, WakeupBasket was launched in 2016. The startup claims to clock about 2,500 orders daily in Hyderabad.
Post this acquisition, the entire customer base of WakeUpBasket as well as all of its employees will be transferred to DailyNinja.
“Both of these acquisitions have helped us in scaling fast and understanding the local market. We loved the execution skills and passion of WakeUpBasket’s founding team, thus made them Hyderabad City heads and a part of our core team,” said Anurag Gupta, cofounder of DailyNinja in an email interaction with Inc42.
Founded in 2015 by Sagar Yarnalkar and Anurag Gupta, DailyNinja provides early morning delivery everyday essentials. DailyNinja currently reaches close to 40,000 households every day with a monthly active user base of close to 55K households in Bengaluru and Hyderabad.
“We are growing at 20% MoM. This has been made possible by launch in three new cities – Chennai, Mumbai and Pune where we are seeing excellent response. We are looking to reach 20,000 daily transactions from Hyderabad in the next six months, as we currently stand at 5000 transactions a day,” added Anurag.
The acquisition spree for DailyNinja comes in after the two consecutive rounds of funding: $3 Mn in June and an undisclosed funding round from Mumbai-based venture capital firm Matrix Partners India in September 2018. “We believe we have the right business model to scale this across India and are targeting 150k transactions a day in the next six months,” said Anurag.
As per a July 2018 ET report, India’s food and grocery market is pegged at $300-350 Bn. By 2020, these estimates suggest that food and groceries would constitute around 66% of total retail revenue.