19 Nov 2023
Pricepally, a pioneering Nigerian online grocery store for fresh produce and packaged food, has announced the successful acquisition of $1.3 million in seed funding. This significant investment was spearheaded by Samurai Incubate, a renowned Japanese venture capital firm that had previously participated in Pricepally's 2021 pre-seed funding round. The funding round also saw the involvement of esteemed investors such as SOSV, ELEA, Hi2 Global, Chui Ventures, and ex-Unilever executive David Mureithi.
This infusion of capital will empower Pricepally to expand its operations beyond its current reach in three Nigerian cities. It will also facilitate the reintroduction of group buying, a popular feature that was widely appreciated by early customers. Additionally, the startup intends to utilize the funding to enhance its technological infrastructure and broaden its product offerings, ensuring an even more comprehensive and fulfilling shopping experience for its valued customers.
Pricepally's inception in 2019 was driven by the vision of its founders, Luther Lawoyin, Deepak Bansal, Mosun Lawoyin, and Jummai Abalaka, who sought to revolutionize the Nigerian food landscape by addressing critical issues such as affordability, availability, and price predictability. The startup sources fresh produce directly from farmers and packaged food from manufacturers, enabling it to offer competitive prices that align with the needs of Nigerian consumers.
Since its inception, Pricepally has witnessed remarkable growth, with its existing buyers contributing over 80% of its revenues. The startup has strategically targeted retail customers, who account for 70% of its clientele, recognizing their potential for upfront payments, lower acquisition costs, and higher margins. To further expand its customer base, Pricepally has launched April, a user-friendly WhatsApp chatbot designed to cater to the mass market in Nigeria, one of the world's leading WhatsApp-using nations.
Expressing his enthusiasm regarding the funding, Pricepally CEO Luther Lawoyin stated, "We are thrilled to receive the support of such an esteemed group of investors who share our unwavering commitment to making affordable and accessible food a reality for all Nigerians. This funding will catalyze our expansion and enable us to continue providing our customers with an exceptional shopping experience."
Rena Yoneyama, a partner at Samurai Incubate, commented, "Pricepally has captivated us with its clear mission, deep understanding of the Nigerian market, and unwavering dedication to providing high-quality products and services. Their impressive execution and commitment to excellence have instilled in us unwavering confidence in their ability to continue thriving and making a profound impact on the Nigerian food industry."
Pricepally's success serves as a testament to the increasing demand for online grocery shopping in Nigeria. With the increasing prevalence of smartphones and internet access among Nigerians, e-commerce platforms are gaining significant traction as preferred destinations for everyday necessities. Pricepally is well-positioned to leverage this trend and establish itself as a frontrunner in the Nigerian online grocery market, shaping the future of food procurement for the nation's consumers.