Bengaluru based O2O (online-to-offline) grocery company Avenue 11 has raised Rs 26 crore from Brand Capital, the strategic investment arm of the Times Group. This investment by Brand Capital will be deployed for geographical expansion of the business and to increase its brand presence.
Founded by Korean expat Nakkyun Chong, Avenue11 currently serves south and east Bengaluru, with a customer base of 35,000 people, and a monthly GMV of Rs 90 lakhs. With the current financial projections and the BCCL partnership, Avenue11 is poised to achieve a GMV of Rs 17 crores in 2018.
So far, Chong has been largely successful in making customer experience unique while providing best in grocery and allied needs. In less than a year, he has driven a 54% increase in B2C Gross Merchandise Volume (month-over-month in 2018) and an impressive 45% growth in revenue. An architect by education, Chong indeed has a grand vision to take the Indian F&G industry to the next level.
In the words of Chong, “I started this company with a vision to redefine the way Indians do their grocery shopping. The partnership with the Times Group is a step forward in that direction. Investment from such a noteworthy institution is a sign of trust and belief in our business format.”
With a lot of big players entering the grocery market, this strategic partnership with Brand Capital can be a game changer for Avenue11. This investment will have a positive impact on the strong positioning of Avenue11.
Planet11 eCommerce Solutions, the parent company of Avenue11 was founded by Nakkyun Chong in 2016 with a vision to redefine the online grocery market in India.
Chong, a South Korean national, has over 28 years of international experience in the eCommerce and telecommunication industry. He has worked with SK Planet and set up companies like “11 Street” in Korea which is a leading open market player along with “N11”, which is the No.1 open market platform in Turkey. He started Planet11 with a small team of people, spending hours doing market research to understand the Indian consumer behaviour. Today, the team consists of 200 passionate people, all with a vision to make grocery shopping more exciting for the customer.
Avenue11’s strategy is to establish a unique O2O model –where online orders are serviced by offline partner stores, thereby halving the cost of logistics.
Currently, Avenue11 sells high-quality fresh produce and grocery to online customers, while the B2B arm of the company supplies fruits and vegetables to merchants and institutions.
The e-grocery platform has raised a total funding of $8 million till date from various investors across south-east Asia.