Twigly Raises $600K in Seed Funding From Tracxn Labs and Hyderabad Angels
Twigly, food ordering app has raised $600,000 in seed round funding from Tracxn Labs, Hyderabad Angels, Kunal Shah (co‐founder, FreeCharge), Aditya Verma, (co‐founder, Makaan.com), Gaurav Bhalotia (Vice‐president of Engineering, Flipkart), and partners at McKinsey.
This Gurgaon based startup will use these funds to penetrate into new cities like Delhi and Bangalore. Extensive marketing about them in these new cities will allocated with the new budget. It is building a modern‐day food supply chain that’s anchored around freshness, instead of frozen foods with a long shelf life (as used extensively by MNC food chains like Subway, McDonalds, KFC).
Twigly, inspired by US-based Sprig, was founded in August 2015 by Sonal Minhas, Rohan Dayal and Naresh Kumar Kachhi. It works on an online kitchen model where the food is made at a central kitchen and shipped to customers directly. The menu is limited and changes on a weekly basis.
“We are trying to create our own range of dips and drinks. Our long-term view is to be like the Yum! Brand…” Minhas said in an interview. “You can expect our products to be available in places such as Godrej Nature’s Basket and Le Marche within the next six months,” added Minhas.
They are working on their back end infrastructure and customer experience to provide fresh food all over their operating cities. Normally foods served in the restaurant, when given as take away becomes soggy and changes taste. This startup delivers freshness preserving food with a quick delivery time.
“A good hockey player plays where the puck is. A great hockey player plays where the puck is going to be. We are creating new categories rather than going after established food categories where both margins and pricing power are low. By controlling the entire food ordering experience and supply chain we have been able to differentiate ourselves and induce repeat purchases, which we believe is important for early success of any start-up,” added Minhas.
Getting funding for food-tech startups have become tough these days, especially with rising expenses because of Logistics. Established players like Swiggy have outsourced logistics to reduce costs.
Currently the food-tech startup has a rating of 4.9 in Zomato and has got requests to open in cities like Mumbai and Hyderabad.