Well it was fast. London grocery start-up, Jiffy Just founded in April of this year — about six months after the first £ 2.6 million, it earned $ 28 million in Series A funding. Seed raise.. A total of $ 35 million has now been raised.
Grocery delivery start-ups run their own network of dark stores to perform fulfillment and deliver “fresh groceries in 15 minutes.”
Currently, there are eight stores in London with funding to expand.
Jiffy said TechCrunch has attracted about 20,000 customers so far in six distribution zones (all in London so far).
The Series A round will be led by family-owned investment firm Heartland, with participation from Boston-based international VC fund Flint Capital, as well as gaming company Playrix and existing investors Baring Vostok Capital Partners and LVL1. I have.
Rapid funding is a measure of how competitive on-demand grocery space has become in the UK capital, and is a clear indication that investors are impressed with the early execution of startups.
The founders of Jiffy describe themselves as “Q-commerce veterans.” Co-founder Vladimir Kholiaznikov is the former CEO of Russian electronic food player X5 Food Tech, and co-founder Artur Shamalov also previously founded a food-related startup in Russia. Both are making their own investments, so you may have a fast-growing contact book to tap when you go to raise money.
Jiffy’s typical customer is a family Middle-aged grocery shoppers switching from traditional convenience supermarkets and online weekly shops to apps. “We are confident that this trend will only accelerate when we become a more mature service,” says Kholiaznikov.
Series A funding will grow within London and could grow further as Jiffy moves to other cities in the UK.
“We’re definitely aiming to cover London within M4 by the end of the year,” Kholiaznikov told TechCrunch. “Jiffy may move to town as a pilot this year, but we’ll see later.”
The “long-term” plan is that “all towns with a population of over 100,000 are on our radar,” he adds.
“We are building a nationwide company, but we are also exploring other markets through other routes. We are providing a Q-commerce technology platform to selected local players in the international market (eg Australia). Is a partner of Send), ”said Kholiaznikov. “We will continue this route to add value to our core businesses and shareholders,” he added.
While there are startup Smörgåsboards competing to deliver groceries and snacks to British city dwellers, Jiffy’s offer delivers fresh produce quickly to the front desk and center. A bottle of pop and potato chips.
In addition, however, there are many food delivery apps that are trying to bite into traditional weekly grocery stores-very well-known names like Deliveroo, Anyway, eat When Uber Eats — Mainly focused on delivering food from restaurants, but some are buying more light groceries selected from non-open stores.
Fully chasing weekly grocery stores, like Jiffy and several other start-ups, looks like a big challenge in logistics and execution, but it certainly promises a 15-minute delivery. But it has the potential to become a more sustainable and profitable business, not just catering. For sporadic convenience needs and a thirst for snacks, even with more complex operations.
At the same time, again, there are not only startup rivals that Jiffy and co are worried about. Traditional supermarkets have made huge profits during the pandemic — and certainly could sprinkle a lot of cash to dial up their delivery service. But it’s also where slimmer startups can steal the procession by fulfilling their ultra-fast delivery promises, despite the lack of product choices.
In addition to grocery delivery, Jiffy is adding “Click & Collect” orders. It is currently available in two stores in London, giving customers more choices on how to get their groceries.
It also avoids the myriad (legal, ethical, reputation, and logistic) pitfalls of gig work. Its electric bike and moped delivery courier is a vibrant employee.
Another differentiated twist on that model is the open Q commerce play mentioned above.
“this In short, it provides a ready-to-use IT platform that other companies can use to launch their own quick commerce store, “says Kholiaznikov.
In a statement, Heartland CEO Lise Kaae commented on Jiffy’s Series A: market.
“We strongly believe in the large and untapped potential of the UK electronic grocery market and the ultra-fast delivery business model developed by Jiffy. The company is headed by a team of highly experienced founders. And this round will allow Jiffy to accelerate its growth even further. We are pleased that Baring Vostok’s funding is part of this exciting story. “
London’s Jiffy scoops $28M for speedy grocery delivery – TechCrunch Source link London’s Jiffy scoops $28M for speedy grocery delivery – TechCrunch