D2C meat delivery startup ZappFresh on Thursday said it has acquired Bengaluru-based Dr. Meat — online chicken delivery startup – to expand its presence with a foray into the south Indian market. The company anticipates reaching Rs 70 crore revenue within 12 months in Bengaluru and Rs 300 crore top line by the end of the financial year 2023-24. The acquisition is line with its plans to enter new markets in the upcoming year.
“We have actively sought opportunities for strategic partnerships and acquisitions in recent years. However, Dr. Meat stood out among other D2C contenders due to its strong alignment with ZappFresh’s fundamental principles. Dr. Meat’s demonstrated ability to achieve substantial scale without compromising its bottom line resonates strongly with ZappFresh’s vision,” said Deepanshu Manchanda, Founder, Zappfresh in a statement.
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Manchanda said the company has been profitable for the last four years and the focus for the next six months will be on building traction in the Bengaluru market. By expanding into new pin codes, ZappFresh said it aims to solidify its position in the region.
The company is currently in talks for further acquisitions to expand. ZappFresh is backed SIDBI VC, Dabur Family Office, Letsventure, Keritsu Forum, and several prominent angels from the food and technology sectors. It has a customer base of over 3 lakh in the NCR region.
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According to the Crunchbase data, Zappfresh has raised $7.9 million since its launch in 2015. The company delivers chicken, mutton, seafood, ready-to-cook and ready-to-eat meat products in Delhi and NCR region. Zappfresh competes with Licious, FreshToHome, TenderCuts, Meatigo and other players delivering meat.
The online meat delivery market in India is expected to grow to around $3 billion by 2026 on the back of growing interest among millennials for buying meat online and post-Covid adoption of digital channels of buying goods online among consumers, as per market research firm Ken Research.