A Series B funding round led by Mithun Sancheti, the founder and former CEO of CaratLane, and Binny Bansal's 3STATE Ventures has raised Rs 100 crore, or roughly $11.7 million, for SuperK, a branded franchised retail chain that focuses on small towns in India. Along with current investors Blume Ventures and Xeed Ventures, Indian batter and Men's Test captain Shubman Gill also participated in the round.
The Bengaluru-based startup raised $6 million in its Series A round, led by Blume Ventures, in March of last year.
Key Highlights
- SuperK raises ₹100 cr in Series B, co-led by Binny Bansal’s 3STATE and Mithun Sacheti.
- Cricket captain Shubman Gill joins as investor; funds aimed at expanding retail footprint across small towns.
In order to speed up the company's expansion into newer towns and adjacent categories, SuperK says the funding will be used to greatly increase SuperK's organizational capacity and hire top talent across marketing, store operations, category, and growth functions.
According to industry reports, the grocery retail market in India is worth $600 billion, with over 80% of the expenditure going to small towns (tier-II and below). However, organized retail currently serves less than 5 percent of this enormous market. For reputable, technologically advanced formats that can grow effectively in these underserved areas, this offers a huge opportunity.
SuperK hopes to use its own technology, local franchise partners, and a devoted customer base to become the top supermarket in small towns in India, much like Costco. With a franchisee model, the company currently runs 130 stores in over 80 small towns in Andhra Pradesh.
In order to simplify daily operations at the store level, SuperK, which was founded in 2020 by Anil Thontepu and Neeraj Menta, has created domestic point-of-sale (POS) machines with an internal retail operating system, a consumer-facing app, and a partner app.
Also Read: IndusInd Bank Plans Rs 30,000 Cr Fundraise via Debt-Equity Route
The company asserts that because it collects comprehensive data at every transaction, it is the only offline retailer in the nation with full insight into consumer behavior. This information aids the business in rewarding franchisees for reaching predetermined sales targets and sending customized offers to individual clients. The business claims that its Gold membership program, which now contributes significantly to overall sales, has improved profitability and customer retention.
Built on top of its current supply chain and technology infrastructure, SuperK has recently branched out from groceries into e-commerce, providing budget-conscious families with access to everyday necessities like coolers, fans, mixers, and cookers.
SuperK has not yet submitted its FY25 annual report, but in FY24, the company's revenue increased 41% to Rs 84.5 crore, while its losses increased 30% to Rs 30.67 crore.
