Shopflo, a SaaS platform that enables easy checkout experience for D2C brands, has raised $2.6 million in seed funding from Tiger Global and TQ Ventures.
With this, Shopflo becomes one of the only Indian startups at a pre-product stage to receive seed funding from Tiger Global.
Better Capital and a pool of other angel investors also participated in the round.
Priy Ranjan, CEO and Co-founder, Shopflo, said, “Most of these D2C merchants build their websites using no-code tools, which are great for smaller merchants. The next best platforms are only suitable for large enterprises with in-house tech teams. We at Shopflo are targeting the merchants in the middle. We are starting as a checkout SaaS platform for D2C brands with a goal of creating a delightful and zero mental load checkout experience. We envision Shopflo to be the checkout layer in the global headless commerce stack. We are privileged to have Tiger Global, TQ Ventures, and Better Capital join us as we plan to bring the D2C checkout experience closer to Swiggy and Amazon.”
The founders of Shopflo have first-hand experience in the ecommerce, payments, and SaaS space. Before starting Shopflo, Priy and Ishan were at Elevation Capital, while Ankit worked at communications SaaS unicorn Gupshup.
John Curtius, Partner at Tiger Global, said, “A seamless checkout experience has become a baseline expectation for consumers. However, checkout for ecommerce merchants hasn’t changed much in the last decade. Shopflo will change this. It is well-positioned to be the default checkout for the fast-growing Indian D2C market. We are excited to be their first backers along this journey.”
The founders realised D2C merchants see approximately 70 percent customer drop off between add to cart and purchase steps. This is the absolute last step of purchase and losing out on customers here hurt merchants the most. Shopflo claims to be offering a seamless and minimum cognitive load experience to the consumers, which helps in improving conversion rates while shopping.
“Checkout has remained the most under innovated part of ecommerce for a long time. We are changing that with Shopflo, which is an innovative checkout SaaS to reimagine the buyer experience from the checkout page onwards weaving together payment, tracking, returns, and more like never before. I am excited to partner with the Shopflo team along with a stellar group of global co-investors”, said Vaibhav Domkundwar, CEO of Better Capital, an early backer of breakout SaaS companies like Open, Khatabook, Teachmint, and others.
Shopflo’s focus is to empower D2C brands to provide experience to their customers, enabling merchants to maximise long term value from visitors with their website. They are out of beta and live with select merchants.
Schuster Tanger, Co-Managing Partner, TQ Ventures, said, “Indian ecommerce is a megatrend. The checkout piece sits at the bottom-most part of the funnel with the highest intent customers. The Shopflo team impressed us with their depth of understanding of both D2C and payments SaaS. They are well positioned to build the preeminent Indian company in this space, and we look forward to supporting them on their journey.”