The rise in popularity of online grocery shows no sign of slowing down. According to IBISWorld, online grocery sales are expected to remain significantly higher in the current year than before the national lockdown in March 2020.
To capitalise various online grocery companies including, Weezy, Dija, Bother and Jiffy are pivoting their offerings available to shoppers to meet surging demand. Furthermore, the number of industry operators is expected to increase in the UK as the population observes the stay-at-home order.
London-based Grocemania is one such on-demand delivery platform, which allows customers to shop from local grocery stores and get deliveries in 30 minutes for a fee of only £2.50.
Secured £165K on crowdfunding
Now, the online grocery app has raised almost £165K on the crowdfunding platform, Seedrs. As per the company press release, the funding will be used to fuel the expansion and support the rollout of its service nationwide.
The same-day grocery delivery startup has already exceeded its funding target of £100K at a valuation of £2.4 million.
As of 23 March, 340 investors had invested a combined £165,229 in Grocemania, with the funding round still open until 29 March. The company’s monthly revenue has more than doubled since the onset of the COVID-19 pandemic and it now has partnerships with Unilever and PepsiCo, enabling customers to benefit from special offers on these manufacturers’ products.
Partnered with hundreds of stores
Founded in 2019 by Askar Bulegenov, Grocemania works with hundreds of stores across the UK – including the likes of Budgens, Nisa, Londis, and Costcutter – as well as independent retailers.
It charges nothing to the retailer, adding a small mark-up on the products listed and a delivery fee, which reduces as the customer’s shopping basket increases.
At present, the company is operational across London, Bristol, and Brighton, with expansion into Leeds, Sheffield, Birmingham, Bramhall, and Manchester, among other major cities, to be completed by May 2021.
Askar Bulegenov, founder and director of Grocemania, said: “We are delighted to announce another successful funding round, with hundreds of new investors joining the business on its exciting journey. Having smashed our funding target in advance of the deadline, we’ve taken the opportunity to over-fund, which will just help accelerate our growth even more.
“Demand for grocery delivery services has soared during the pandemic, and Grocemania has experienced rapid expansion in this time. With major partnerships with Unilever and PepsiCo now agreed, we are poised for an incredibly exciting future – expect to see Grocemania in many more towns and cities across the UK in the months to come.”
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