Bagallery, positioning itself as a digital-first and fashion start-up in Pakistan, has raised $ 4.5 million in Series-A funding.
The Series-A round was co-led by Zayn Capital, the existing investor Lakson Investments Venture Capital (LIVC) and UAE-based Hayaat Global. Earlier it had raised $ 900,000 in pre-Series-A funding by November 2020.
Profit, after seeing the Series-A cycle records, could confirm that the new total collected was $ 4.5 million.
Founded by Mina Salman in 2017, Bagallery incorporates beauty and fashion products into a variety of brands on its website, monetizing the brands gained by selling these products. It is also one of the rare women-initiated initiatives that employs 40 percent of women in the workplace and works in an industry where the majority of clients are women.
Regionally, the E-Commerce beauty and fashion industry has been booming with a business that raises tens of millions of dollars with big or high revenue. Of these, the Indian beauty and fashion company E-Commerce, Nykaa, is now worth more than $ 10 billion after a public appearance at the end of October.
Myntra, another Indian Fashion E-Commerce founder competing with Nykaa today, was the first player in the space and was acquired by Flipkart for $ 300 million in 2014 and Purple raised $ 140 million making her a unicorn.
In Pakistan, Bagallery rivals are Daraz and the likes of Sapphire and Khaadi, while Connatural and Jomo are young and new beginnings. The latest player in the beauty category, Connatural has made its presence stronger with a line of beauty products, as well as Jomo.pk for E-Commerce shoes and clothing.
Just yesterday, another E-Commerce fashion launcher Clicky.pk announced the launch of the pre-series A $ 2.3 million; Flare, the E-Commerce launch of upcoming and upcoming video also plans its launch and saves money.
Apart from this, small fashion and beauty retailers abound on forums like Instagram, which are now empowered to market with apps like Zarya that offer fashion products at full prices and provide delivery support to small retailers.
How does Bagallery plan to compete in the market? First of all, Bagallery has been around longer than most other than Daraz and seems to be able to grow. Bagallery website analytics data shows that the company hit 2.86 million users on its website in November this year, from more than half a million in June, impressive niche-focused E-Commerce implementation.
On the other hand, Pakistan’s E-Commerce behemoth Daraz has blocked more than 13 million users from its website, according to Similar Web, but sells in many categories such as electronics, toys and groceries.
Bagallery also praised its growth and said it was now considered four times more than their round seed support. Since launching its previous round in 2020, Bagallery claims to have increased its revenue three times and now counts more than 20,000 products and 2,000 products added to its online store.
The variety of donations available in a store puts it ahead of competitors. Salman Sattar, CEO of the company, says: “Our prices also differentiate us but what really sets us apart from what and what our proposal is, is that we create more private labels that are only available in the Gallery and not elsewhere,” he said. Salman.
“That is the big difference we want to make. Some things can be paired but diversity cannot be paired,” he adds.
That’s more than that Bagallery is looking at a shoppertainment model where a company makes live moments and lists products for sale in order to sell more. Daraz has also recently moved to a shoppertainment model, which broadcast live the T20 World Cup on the Daraz operating system where customers can purchase Daraz products.
Bagallery, however, claims that their live times existed before Daraz and introduced commercials where promoters would be able to sell Bagallery products using their presence on social media.
With the support of Series, A, Bagallery aims to launch new projects by 2022 including an influential platform that will allow customers and promoters in the beauty and fashion industry to connect through their website. Bagallery states that its vision is to make democracy more attractive and fashionable online with high quality customer service and an unparalleled variety.
“Globally, fashion and beauty are major categories of E-Commerce, so we are playing in the right category that has seen so many unicorns. We are planning a major expansion after this funding with the acquisition of certain fashion styles and extensions elsewhere,” said Mina Salman.
“It has been very good to see the company grow in the last few years and I am very happy to be a supporter of Mina and Salman’s vision of building a leading beauty and fashion arena in Pakistan,” said Faisal Aftab, executive partner. E-Zayn Capital.
“We have been drawn by Bagallery for its unwavering focus on solid fundamentals: enthusiastic promoters, a much-needed product portfolio, good customer reach, and a focus on growth. Salman, Mina, and the team continue to use this power continuously to bring new, innovative ideas to consumers, and to become a top market player in the process. Hayaat is delighted to support the team as it looks to embark on the next phase of this exciting journey, ” said Mohammed Ikhlaq, director of Hayaat Global.