The latest casualty of the e-commerce cash crunch is Bangalore based Koolkart. The company’s website is up but all the products on the site are listed as sold out. Means: no inventory to sell.
Anupam Agarwal, one of the two co-founders of Koolkart has moved on to become a product manager at Walmart Labs, according to his Linkedin profile. Suneil Chawla, the second co-founder seems to be focused on his other company Social Beat.
Koolkart was a great platform. It integrated price comparison and social aspects to e-commerce in a nice way. However, it looks like they were a tad late into the e-commerce game. The good part is, that they failed fast and moved on.
By the time they launched last year, investor appetite in e-commerce had dried up. Regulatory changes also forced many investors to stay away from e-commerce. In the last three years, the e-commerce industry in India attracted over $700 million in risk capital. However, only 30% of them raised a follow on round of funding.
The dry spell was followed by some showers in 2013. The year saw Snapdeal raising a massive $50 million round from eBay and existing investors. Last month, HealthKart raised $14 million in series B funding from Intel Capital and Sequoia Capital.
Gurgaon based managed marketplace- Shopclues had raised $10 mn from Helion Venture Partners, Nexus Venture Partners and Netprice.com Chief Executive Officer Teruhide Sato. In February, Valyoo Technologies raised nearly $10 million from UTV founder Ronnie Screwvala’s Unilazer Ventures Limited and IDG Ventures India.
- The Evolution of Ecommerce Business Models in India [Going back to where it started?]