Amazon's third-party brand acquisitions surge to India

Powerhouse91 was co-founded by Shashwat Diesh and Aqib Mohammed , and mainly acquires and integrates fast-growing brands in Indian e-commerce markets such as Amazon and Filpkart.

Powerhouse91 official website

The two are reportedly old partners. In November 2018, they founded a women's health brand AZAH, which was invested by Titan Capital and other well-known investors.

AZAH official website

Powerhouse91 uses growth capital and various e-commerce capabilities to take acquired brands to the next level. It is reported that Powerhouse91 will make acquisitions by paying several times the brand's profits . If the brand meets the requirements, the company will send an acquisition invitation to the brand owner within 2 to 3 weeks.

Currently, the company's plan to acquire multiple e-commerce brands in India has entered the final stage and is expected to form a brand portfolio and generate revenue of more than 100 crore in the next two years.

The concept was pioneered by the American company Thrasio , which has achieved considerable success in Western markets. So far, Thrasio has acquired and integrated more than 100 brands on Amazon.

As a pioneer in this field, Thrasio is currently the fastest growing unicorn company in this field. Foreign media therefore call Powerhouse91 the Indian version of Thrasio. This business model has been proven to be feasible, and many companies in this field have shown exponential growth and also made profits.

“While it’s difficult to build an e-commerce brand and grow it from 0 to 1, it’s even harder to grow it again once it’s reached 1 or make it a truly big brand,” Shahwat said in a statement.

He believes that this is due to many factors, including challenges in operating funds, increased competition from large companies, and increased advertising costs. Sometimes, the owners of these brands do not necessarily have the expertise or assistance of professional organizations to help them overcome these challenges. This is where companies such as Powerhouse91 can come in. "We buy these brands and can help them grow to a new level."

Shahwat said Powerhouse91 will help build India's largest e-commerce brand and promote the growth of the country's e-commerce ecosystem.

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