Bangalore-based tea retail chain Chai Point has raised $10 Mn (about INR 66.35 Cr.) in a funding round led by Eight Roads Ventures. Besides, DSG Consumer Partners and existing investor Saama Capital also participated in this round.
Mountain Trail Foods Pvt Ltd owned Chai Point was founded last year by Amuleek Singh Bijral.
Chai Point works on a hybrid model of service stores and delivery only hubs across Bangalore, NCR, Pune and Mumbai. The startup is aiming to build a tea delivery business to cater to companies and small businesses across metros.
Chai Point has about 40% of its orders through its mobile app – iOS & Android.
There are four ways to order chai & snacks from Chai Point, online, through App, by call (1800 420 2424) or through Facebook.
The raised capital will be used to expand its geographic reach from 7 cities as well as grow the delivery component of business model, Chai on Call & Chai at Work. Besides, the startup has also tied up with mobile messaging app, Lookup, to enable chai orders on chat.
Ash Lilani, managing partner & co-founder at Saama Capital, first investor in the company told Mint, “We see Chai Point touching 200 stores in a short span, with a big push on the technology front where we enable more deliveries through mobile apps.”
Chai Point faces a tough competition in the office pantry where biggies such as Cafe Coffee Day and Nestle has already dominated this market. Another tea chain company, Chaayos, which is a Gurgaon-based startup had raised $5 Mn from Tiger Global.
Welcome to Flash Feed, your essential source for breaking news and innovation from around the web – bite-sized and updated all day.