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E-Commerce Platform Direct2U Raises Rs 1.8 Crore in Seed Round

The funds raised will be used for technology development, hiring, marketing and expansion plans

E-Commerce Platform Direct2U Raises Rs 1.8 Crore in Seed Round
POSTED ON April 14, 2023 1:06 PM

E-commerce start-up Direct2U has raised Rs 1.8 crore in a seed round led by Inflection Point Ventures (IPV). The funds raised will be used for technology development, hiring, marketing and expansion plans.

Direct2U (Flow Commerce Pvt. Ltd.) is a business-to-business-to-consumer (B2B2C)-assisted e-commerce platform that aims to disrupt the rural market by providing access to finance and door-to-door delivery. Its relationships with various brands such as Samsung, Vivo, Prestige and others allow the rural audience to select from a wide range of products.

A one-time password (OTP) mechanism along with visual proof of delivery helps build the trust of MFI partners. Bihar, Madhya Pradesh, Karnataka and Odisha are currently being covered by the company.

Direct2U aims to simplify cross-border e-commerce thereby making it accessible to businesses of all sizes. The company has expanded its operations in Bihar, Madhya Pradesh, Odisha and Karnataka with 23 warehouses.

“Direct2U has identified a promising white space i.e rural e-comm market and they are disrupting it by bringing in standardised processes which will elevate customer experience, business growth of the brands, generate employment for delivery staff and a safe payment process will give trust and comfort to the customers, many of whom are a first-time online shopper. Direct2U is solving all the connectivity problems and has created an integrated structure on one platform. We believe their growth trajectory and growth plans along with our support and network will help the Company to establish its leadership in this segment,” said Mitesh Shah, co-founder of Inflection Point Ventures. 

Direct2U, a Flow Commerce company, is a fully-integrated assisted e-commerce platform. A consumer durables marketplace that brings together lead generation, order fulfillment, cash (online transfer) and credit purchase options, along with the door-step delivery for the demand-rich, underpenetrated rural Indian consumers in the deep rural pockets of Bharat.

"Great experience dealing with IPV, a team of thorough professionals working closely with founders to understand the business in minute details from all perspectives. The fact that rural commerce, with tech-enabled last-mile delivery along with a user-friendly frontend platform, can be executed with positive unit-level economics is a winning factor. Strict due diligence to build confidence in the start-up business. IPV is instrumental in guidance through various mentor investors in supporting the business grow further,” observed Gaurav Ahlawat, founder of Direct2U.

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