Egypt-based auto-repairs platform raises $2.2m
Egypt-based on-demand auto-repairs startup Odiggo has successfully raised $2.2 million in its latest funding round as part of Y combinator’s YC Summer Batch. The seed round included the participation of Y Combinator, 500 Startups, and Plug and Play Ventures. Regional VCs like Seedra Ventures, LoftyInc Capital, and Essa Al-Saleh (CEO of Volta-Tucks) also took part.
Launched in 2019 by Ahmed Omar and Ahmed Nasser, the company operates a marketplace that connects car owners with service providers around them who can solve their problems on-demand, from servicing and repair to washing and maintenance. In doing so, Odiggo is bridging a market need while increasing third-party exposure and sales. A commission-based model is used and Odiggo charges the car suppliers 20% commission on every transaction.
Since its launch, the Egypt-based startup has served over 50,000 car owners across three markets – Egypt, the UAE and Saudi Arabia. The company also works directly with over 300 merchants. It claims merchant numbers have grown 40% month-on-month while its user base has increased 200% since the start of the pandemic.
A key to Odiggo’s success is its multidisciplinary approach, especially when looking at marketing opportunities. Odiggo currently taps into a mix of data sources, through its integrated dashboard, including car metrics and internal software, which it will use to understand and provide the optimal set of offerings. “For example, the platform would be hooked up to the car owner’s vehicle and link the vehicle to the marketplace and provide frequent updates of your vehicle condition so you’ll be informed if the tires are low, the oil needs changing, or if a service is required,” co-founder and CEO Ahmed Omar said.
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