Business grows 80% per month! Indonesian social e-commerce KitaBeli receives $10 million in Series A funding

KitaBeli, an Indonesian social commerce group buying app, announced on the 24th that it has completed a $10 million Series A financing round. The round was led by Go Ventures, a cornerstone investor of Gojek, with participation from investors such as AC Ventures and East Ventures.

KitaBeli ’s main business currently is selling fresh produce and fast-moving consumer goods (FMCG) to areas outside of Indonesia’s major cities , including to people who have never shopped online before.

KitaBeli was launched in Jakarta in March 2020 and has since expanded to Solo and Malang . Unlike social e-commerce apps such as ChiliBeli and Woobiz in Indonesia , KitaBeli ’s buyers place orders directly through its app and participate in group purchases at lower prices . ChiliBeli and Woobiz , on the other hand, promote products through the social media profiles of distributors or agents and take a commission from sales .

For farmers and suppliers, KitaBeli's value comes from being able to reach new customers in more parts of Indonesia.

According to data released by KitaBeli , the company's business has grown 80% per month since its launch, with each customer's installation costing just 10 cents, while platform users spend an average of $70 per month on the app .

KitaBeli said the new funds raised will be used to expand KitaBeli's business in Java, develop its logistics network and develop its mobile application. It also plans to add new categories such as beauty, fashion and accessories.

Prateek Chaturvedi, co-founder and CEO of KitaBeli , said KitaBeli focuses on direct relationships with end customers because “ this fosters customer loyalty and makes it the preferred e-commerce platform for new online shoppers. We don’t take the risk of losing customers if an agent decides to stop working with us . ”

While KitaBeli currently does not have a dealer network, it works with delivery partners to provide last-mile delivery services, which is an opportunity to earn additional revenue. The company plans to continue building out its delivery network across Indonesia to help KitaBeli address the challenges it faces in reaching smaller cities and more rural areas.

Social Commerce

Indonesia

Financing