In an incredible show of support and interest, the Singapore based app Carousell managed to raise $35 million in its series B funding. The global attention that this app has received underscores the importance of market spaces in Asia that are peer-to-peer.
The primary funder for this round of investment came from Rakuten Ventures. Other investors that contributed in the series B funding round included 500 Startups, Golden Gate Venture, and Sequoia India. Considered a highly successful funding round, Carousell is poised to move into their next stage of development and expansion into a marketplace that is calling out for innovation.
Carousell was founded in 2012. The purpose of the app was to create a marketplace where people could buy and sell a large number of different items. The online marketplace would provide space for things like beauty products, lifestyle gadgets, fashion, and even furniture/home appliances. A simple enough idea, Carousell was attempting to do what has never been fully realized before. In addition, it attempted to provide all of these services in a way that was straightforward. Features like easier photo uploading and chat functionality made buying and selling easier than ever before.
Speeding Growth With New Investments
The purpose of the series B funding round was to help Carousell increase the rate of growth. In particular, the company was looking to improve its rate of growth in new markets. Additional points included strengthening its engineering capabilities for the website as well as building a professional team. The next stage of the company will feature international expansion headed by AirBnB’s director for Southeast Asia, Chai Jia Jih. With a professional team for international expansion, Carousell as approached its expansion with the skill and determination that saw it successfully raise the capital it required.
In total, Carousell has raised roughly $41.8 million. At the moment, the app is available in 14 major cities located around Asia. Along with Singapore, other cities like Taipei, Hong Kong, and Kuala Lumpur are also included. While the company is keen on expansion, they have not release what future markets the plan to expand into next.
Adding To A Strong Base
Carousell is already well established with more than 35 million listings in the 2nd quarter of 2016. Every minute, more than 70 lists are made. The company has estimated that the average user spends roughly 17 minutes on the app itself. A reason for this is increased use of peer-to-peer marketplaces for getting goods.
Carousell is not the only company that has a strong base and is finding success with investing rounds. For example, Tokopedia has raised more than $247 million dollars in funding to date. Other competition has also seen the need for these services explode. All of this hints towards a present need for innovation in the field, of which Carousell is hoping to dominate in the coming years. Placing itself as the premier app for this service, Carousell has a great deal of excitement backing it. Only time will tell if the investments were well spent.
About the Author:
Morris Edwards is a content writer at companyregistrationinsingapore.com.sg – he writes different topics like “Fintech startups in Singapore “, “Singapore and Thailand Sign Agreement for Information and Communications Technology” and all topics related to Tech and Business in Singapore.