Gurgaon and Hong Kong-based LafaLafa, a mobile-first coupons and cashback app, has raised an undisclosed amount of seed funding from Hong Kong-based Vectr Ventures; this is Vectr’s first investment in India.
Yellow Brick Road Digital Marketing Ltd. owned LafaLafa was founded in January this year by Yosha Gupta. LafaLafa is a coupons and cashback aggregator. The startup offers coupons for 500+ websites like Flipkart, Paytm, Amazon and Snapdeal, among others, as well as enables its users to receive cashback whenever they purchase from partner stores.
Reportedly, LafaLafa will use the raised capital to strengthen its back-end technology and expand within Asia.
LafaLafa’s Android app has about 300K downloads. On an average, the startup closes about 1,000 transactions every month, and has an active network of 500+ partners who are mostly Indian hyperlocal startups.
The company also claims to be the only cashback business with corporate tie-ups such as WeChat and Aircel for real-time mobile recharge as a redemption option. Its revenue comes from commission on driving transactions. For high-end products such as fashion apparels, the commission ranges from 20-25%, while for electronics it can range anywhere from 3-5%.
Earlier in September this year, LafaLafa secured $125K in funding from 500 startups Accelerator Program.
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