Amazon can be tries to take on Shopify in the west, but in India it is preparing to explore social trading.
Amazon India has acquired the social commerce startup GlowRoad As the e-commerce giant makes a major foray into one of its key overseas markets, a source directly familiar with the matter told TechCrunch.
The deal is complete and an announcement could be made within days, the source said. Amazon India did not immediately respond to requests for comment after office hours.
Headquartered in Bengaluru, the startup sells products to customers at wholesale prices and helps them resell them on Facebook and WhatsApp. It also helps them deliver the product and raise money. On its website, the startup claims to have built a network of over 6 million resellers who earn an average of 35,000 Indian rupees ($460) per month.
Earlier this month, GlowRoad announced that it would be expanding into some markets in the Southeast Asia region.
“GlowRoad is committed to creating more “homepreneurs” and bringing many unique and unbranded suppliers to the platform. Even after four years, we’ve only just scratched the surface and there’s still so much more to do,” said co-founder Shekhar Sahu.
That four year old startupthat we wrote about before twicecounts Accel, CDH, Vertex and Korea Investment Partners among its backers and had raised approximately $32 million in previous investments, according to data intelligence platform Tracxn.
TechCrunch couldn’t determine the amount Amazon is paying for the acquisition, but the source said GlowRoad employees will be joining the e-commerce giant. The source asked for anonymity as the matter is not yet public.
Amazon’s experimentation with social commerce comes at a time when its main competitor, Walmart-owned Flipkart, is aggressively expanding its own social commerce offering, called Shopsy, in the country. A handful of startups, including SoftBank and Facebook-backed Meesho, and Alpha Wave Global and Tiger Global-backed Dealshare, are also involved in social commerce and have a larger market share than Shopsy, according to industry estimates.
In the past year, YouTube has also made a foray into social commerce in India Acquisition of Simsim, backed by Good CapitalTechCrunch first reported.
Amazon India acquires GlowRoad in social commerce push – TechCrunch Source link Amazon India acquires GlowRoad in social commerce push – TechCrunch