KitaBeli receives Series A extension from Meesho, Kopi Kenangan Capital, and Banana Capital
Published on September 24, 2021
KitaBeli, a social commerce platform that offers various products enabled by a team purchase model, today announces the raising of an undisclosed amount in a Series A extension, participated by Vidit Aatrey and Sanjeev Barnwal (founders of India based social commerce platform Meesho), Kopi Kenangan Capital, and Turner Novak’s Banana Capital, a US-based consumer-focused venture capital firm.
The extension comes less than 6 months after the Company’s US$10 million Series A funding round was announced in March 2021.
Vidit from Meesho states that “KitaBeli’s model combines the best of the PinDuoDuo led group buying network effects as well as the Community Leader ecosystem that has powered high growth companies in China and India. We strongly believe that the hybrid model that they have perfected over a short period of time will prove to be the winner in Indonesia’s unique economy.”
Despite COVID-19 lockdown restrictions, KitaBeli’s growth over the past 12 months has been nothing short of impressive. Since its inception in March 2020, Kitabeli has demonstrated powerful execution as the platform has grown to become the largest consumer-facing social commerce platform in Indonesia.
“We have been monitoring the social commerce space in Indonesia for the past year and were most impressed by KitaBeli’s execution and rapid ability to experiment, launch and scale in rural Indonesia. They have created a capital efficient and scalable engine of growth, that has allowed them to leapfrog more capitalized players in the market. The product experience is inherently optimized for scale, and the localized infrastructure best suits Indonesia’s Tier 2 – 4 market,” said Edward Tirtanata, founder and CEO of Kopi Kenangan.
KitaBeli’s social commerce platform provides Tier 2-4 cities with access to eCommerce products and services. Through KitaBeli’s mobile app, users and community leaders can share product price information with their social circles, and leverage offline networks to purchase desired items at competitive prices. KitaBeli’s vision to democratize eCommerce access enables the next generation of internet users to come online, by bridging the trust gap, and creating convenience and value to users.
Today, Indonesia, a core market for eCommerce in SEA, still has a penetration rate of less than 10% out of total retail GMV, presenting significant untapped potential. Tier 2-4 cities account for 75% of US$175B in retail GMV, which is driven by customers that are coming online for the first time. eCommerce user penetration in these cities is minimal and presents ample opportunities for digitization of commerce and trade.
“After investing in successful consumer-facing social commerce platforms in other emerging markets, we have a strong conviction that KitaBeli’s strategy of owning the end customer relationship is the main differentiating factor that sets it apart in a competitive space,” mentioned Turner Novak of Banana Capital.
“We are grateful to have these incredible investors join us in our journey to expedite eCommerce access throughout Indonesia. Vidit, Sanjeev, Ed and Turner are visionaries who have built impactful companies across the globe, and we look forward to accelerating KitaBeli’s growth trajectory with them,” said Prateek Chaturvedi, Founder of KitaBeli.
KitaBeli currently focuses on selling daily essentials in areas outside Indonesia’s major cities, with faster delivery and cheaper prices. As KitaBeli speeds up its expansion, the company now operates in more than 10 cities across Indonesia.
The additional funds will be utilized to supercharge KitaBeli’s expansion into more cities, as well as build out a wider SKU mix for consumers to create a one-stop-shop for all eCommerce needs beyond urban Indonesia.