Vaaree to utilise $4 million seed fund for expanding workforce & advancing platform development
The online home décor market in India is expected to grow by $3.75 billion over the next five years. This surge is attributed to the rising popularity of online shopping and increased smartphone penetration. Startups operating in this sector, such as Vaaree, are looking to capitalise on this promising growth.
Vaaree, established in 2022, has recently secured $4 million in seed funding, with Peak XV's Surge leading the investment.
Garima Luthra, one of Vaaree's co-founders, emphasised that this funding will play a crucial role in expanding the company's workforce and advancing its platform development.
"The $4 million seed funding will be used for expanding the team, for expanding the technology. We plan to use artificial intelligence (AI) for our cataloguing automation etc. We are a team of 40 people now and believe that the team size should double with this fundraise," Luthra explained in an interview with CNBC-TV18.
The company, which initially operated as an online platform, has recently inaugurated its first physical store in Bengaluru. Luthra believes that these stores will contribute to building greater trust and confidence among their customers.
With ambitious goals, the company aims to achieve a growth rate of 6-8 times its current performance and reach a three-digit revenue figure within the next 12 months.