Amritsar, NFA Post: Purplle, an e-commerce platform selling beauty and wellness products, has raised $45 million in a funding round led by Verlinvest, Sequoia Capital India, JSW Ventures, and Blume Ventures.
With this investment, existing backer IvyCap Ventures partially exited the startup with a 22x gain.
“We have invested in Purplle from our Fund 1 and Fund 2. With an initial investment of 15 crore rupees from our Fund 1 growing by manifolds to 330 crore rupees, our partnership has been rewarding. We continue to believe in the growth of the company and therefore we have retained our stake for Fund 2,” IvyCap Ventures Founder and Marketing Partner Vikram Gupta said.
Purplle said that the new investment will further accelerate the brand’s aim to deliver 10x growth over the next four-to-five years.
“Even with a Covid year, we have delivered over 90% GMV CAGR for the last three years… The investment will help to shape Purplle into a multi-billion-dollar, digital-first, beauty and personal care enterprise,” Purplle Co-Founder and Chief Executive Officer Manish Taneja said.
Founded in 2012, the Mumbai-based startup has about seven million monthly active users with over 1,000 brands, and nearly 50,000 products available on its platform.
Sequoia Capital said that is was seeing a growing trend towards the gentrification of e-commerce in India.
“Purplle has cracked the beauty playbook of value retailing with three key tenets – a business built on high retention and low customer acquisition cost, a wide assortment of brands offering quality at best prices, and an attractive private label portfolio mix. We see Purplle emerging as a dominant beauty destination as the online beauty penetration grows from 10% to over 25% over the next decade,” Sequoia Capital India Principal Sakshi Chopra said.
According to the latest RedSeer report, the domestic online beauty and personal care market is expected to grow at a CAGR of 9% from $15 billion in 2017 to $23 billion by next year.
