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Retail-tech startup Arzooo on Wednesday announced the launch of its in-house logistics service, Arzooo Express with an investment of $2 million, soon after the recent $6 million funding raised by Arzooo from Trifecta Capital.

According to the startup, Arzooo Express will manage complete logistics from first-mile service to last-mile delivery of goods for its partner stores across the country.

The new service will help Arzooo improve its serviceability and speed of delivery, expand its pay on delivery option to a larger network, along with improving the efficiency of its supply chain operations, it stated.

Speaking about its new development, Khushnud Khan, Co-founder and CEO, Arzooo said,

“We aim to deliver a level of service for our retailers that’s 2x faster in speed and reliable when it comes to the turnaround time but with a fragmented network of logistics ecosystem with limited capabilities to handle large appliances it is hard to achieve the speed and quality of service.”

“Arzooo Express equips us with the best supply chain capability built to handle large products, deliver faster service to our customers with an optimum level of operational efficiency that sets us to achieve the larger business objective to serve 50,000 stores by the end of this year,” he added.

 In the first phase, Arzooo Express will be serving 10,000 pin codes across the country with a fleet of trucks.

Founded in 2018 by former Flipkart colleagues and IIT-Kharagpur alumni Khushnud Khan and Rishi Raj Rathore, the platform is disrupting the offline retail space by empowering offline stores to compete effectively with larger ecommerce websites.

The B2B startup aims to double its logistics service capability to serve 20,000+ pin codes across India with 3x larger fleet on the ground, and state of the art supply chain technology by the end of 2021.

At present, the logistics service will serve Arzooo’s own client base. However, the company may plan to extend Arzooo Express platform as a third-party service provider in near future, the company stated.

So far, Arzooo has raised about $15 million of capital. ZOOM Founder Eric Yuan also invested in the startup — it was Eric’s first-ever investment in an Indian startup.