Whatsapp shopping startup ChattyBao has raised over $5 million in its seed funding round from Vertex Ventures South East Asia and India, and Info Edge Ventures.
Other prominent angle investors including 7Square Ventures also participated in this round.
The startup plans to use the funds for product development and launch its app in two to three tier-1 and 2 cities.
The Delhi-based ChattyBao was founded in 2021 by Kumar Aditya (former CBO at Paytm), and Varun Gupta (former Director at B Capital Group), its platform connects users with local businesses (shops and services) and provides them with a complete shopping experience on WhatsApp.
It enables users to search, chat, order and receive home delivery from their local merchants, without the need to download multiple apps.
“The entrepreneurial spirit of local businesses in India has always helped them survive and fight competition from larger players. ChattyBao will significantly enhance their ability to provide an ecommerce experience to their users, helping them compete effectively with online players,” said Kumar Aditya, Co-founder at ChattyBao.
The startup claims that this will help offline merchants compete better with other online players.
“ChattyBao can strengthen their value proposition further, and become a catalyst in enabling more customers to come online and transact with the same comfort they already experience in WhatsApp conversations,” Kanika Mayar, Partner, Vertex Ventures South East Asia and India.
She added that small traders and service providers are the backbone of the retail industry in India.
“ChattyBao founding team’s deep of the consumer and merchant needs and behaviour in India will allow them to build tools that empower local shop-owners to compete on an equal footing with the online players. We are excited to partner with Kumar and Varun to enable conversational commerce over WhatsApp for merchants. Their customer-centric approach and deep understanding are apparent in the product they are rolling out. We believe the team will be able to scale the product and build a platform that will change the face of local commerce in India”, said, Chinmaya Sharma, Partner, Info Edge Ventures.