Nigeria – Pricepally, Nigerian group-buying platform aggregating consumer food demand in urban cities and matching it with supplies directly from farmers and wholesalers, has secured an undisclosed amount of funding from German firm GreenTec Capital Partners.
Launched in November 2019, the start-up aims to expand its operations outside its Lagos base with the acquired funds, reports Disrupt Africa.
Currently, offering one-to-two-day delivery on orders, Pricepally has seen increased demand created by the global COVID-19 pandemic.
It has ambitious plans to re-imagine the food system in Africa by connecting relevant stakeholders through their platform and building out the infrastructure to reach more Nigerians.
“At Pricepally we are excited about our collaboration with GreenTec Capital, we see this as a significant step in achieving our vision of a sustainable food system for urban African cities.”
“We are very aware of the huge challenge ahead but we are also very confident in this partnership and we look forward to the future,” said Luther Lawoyin, the startup’s chief executive officer (CEO).
Maxime Bayen, senior company builder at GreenTec Capital Partners, said his company was thrilled to be supporting a team of “young, brilliant and gender-balanced co-founders” on such an important mission.
“At the origin of Pricepally was the deep desire from a group of people to allow households to access essential and quality food at more affordable price,” he said.
GreenTec has invested in a host of African startups, including Kenyan AI startup SuperFluid Labs, Nigerian logistics startup Parcel-it, Ivory Coast-based waste management startup Coliba and, most recently, Ghanaian retail-tech startup Sumundi.
Pricepally aims to cut out middlemen and save consumers money by leveraging technology to aggregate demand via a sharing model.
Users log in to its the website or apps to purchase foods outright or arrange shared purchases, with these items bought from wholesalers or farmers divided accordingly and then shipped to each customer or a group destination.
According to a report by Infinium Global Research, the world market for food e-commerce was US$ 138 million in 2019 and is projected to reach up to US$ 498 million in 2026, with a Compound Annual Growth Rate of 20.3%, over the forecast period (2020-2026).
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