Islamabad-based PriceOye has raised $7.9 million in seed funding from JAM Fund, Beenext, DG Daiwa, Mantis VC, HOF Capital, Palm Drive Capital, Atlas Ventures, Fatima Gobi Ventures, SOSV, and Artistic Ventures.
Tell me more: Shopping for electronics is challenging in Pakistan due to counterfeit items. This, combined with price gauging, creates an unpleasant buying experience.
PriceOye solves both these problems by being a managed marketplace.
Managed marketplace, explained: In an online marketplace model, buyers and sellers buy from each other through an intermediary (the marketplace). Think eBay, Upwork, etc.
On the other hand, managed marketplaces allow brands to sell their products directly after being vetted or, in some cases, purchase inventory from the brands themselves.
This allows for more control over user experience. Think RealReal, Flipkart, etc.
PriceOye provides convenience and transparency in a country where online purchases are often rife with distrust. It also helps consumers make more informed shopping decisions by providing recommendations.
By the numbers: The consumer electronics market in Pakistan had projected spending of $8.5 billion in 2020 and grew at a compound annual growth rate of 7%.
PriceOye claims:
- 500% revenue growth YoY.
- 30% repeat customers.
- 45 million unique users in Pakistan in the last two years.
- 2.5 million active users per month using recommendations.
You should know: Adnan Shaffi and Adeel Shaffi founded PriceOye in 2020.
Several notable investors have participated in the current funding round, including Peter Thiel (PayPal), Immad Akhud (Mercury Bank), and Asif Keshodia (Souq).
To date, PriceOye has raised $8.35 million in disclosed funding.
Zoom out: PriceOye plans to hire new talent with the new funding to expand its team.
It also plans to launch offline experience centers in premium shopping malls across Islamabad, Karachi, and Lahore.
Sourced from: DAWN, TechCrunch, Deal Street Asia
