Jaipur-based re-commerce startup InstaCash today announces that it has raised an undisclosed sum in a fresh funding round from Singapore-based IT refurbishment firm CompAsia.
The current funding will help the startup to scale its business in India and expand its presence in international markets like Southeast Asia and East Asia.
“Indian being the second largest smartphone market, the investment in InstaCash gives CompAsia a footprint in the huge Indian smartphone market. In addition, we have recently launched the InstaCash app in Malaysia and will soon roll it out to the rest of South-East Asian markets which will help us reach out to more customers,” said Julius Lim, Founder & CEO of CompAsia. “Our target is to sell 6 million to 7 million devices by 2020. And with this strategic partnership with InstaCash, we will build a consumer-to-business (c2b) portion of the supply chain which will eventually contribute to about 1 million devices,” he added.
Initially launched as ZeroWaste by Prateek Goel and Dixit Singhvi in 2017, Instacash runs a web portal and a mobile app. It allows users to sell their used or old smartphones on its platform. Besides, home pick-up service it offers instant payment facilities, InstaCash exchange, and bulk deals.
At present, the platform is currently operating across 13 cities including Pune, Jaipur, and Chandigarh, among others. It has also launched its app internationally in Malaysia, where it operates in 8 cities.
Prateek Goel added, “India being the largest unorganized market of old/used phones which is continuously growing, and we aim to scale up the organized market in the country by providing innovative solutions & best resale value of old phone, at the convenience of their doorstep.”
Like any other market globally, India’s refurbished market is largely dominated by smartphones and tablets. According to Deloitte India report, the Indian used smartphone market is expected to touch $4 Bn in the next two years. The report further claimed that the second-hand smartphone market is growing at a CAGR of nearly 32 percent and is expected to sell almost 46 Mn units by 2020.
These attractive numbers are pushing a large number of players such as Cashify, Yaantra.com formerly known as gadgetwood, hyperXchange, and Budli to seize the bigger market share. The other competitors include listing and classifieds portals such as OLX and Quikr. GreenDust and Overcart exist in the broader space of refurbished electronic goods.