- Estonia-based Yaga simply raised $2.2 million to carry its secondhand market to Africa and Asia.
- The startup, sponsored via Startup Sensible Guys, needs to develop into the following Vinted or Depop.
- We were given an unique take a look at the 11-slide pitch deck it used to lift the contemporary capital.
An Estonia-based round financial system startup that desires to develop into the Vinted or Depop of Africa has simply raised 2.2 million euros ($2.2 million).
2d-hand style market Yaga, founded in Tallinn, is a social e-commerce platform that sits in between the likes of Ebay and Instagram. It has a visible feed that includes merchandise up on the market, that are indexed via dealers and influencers. Customers can like the photographs, observe dealers, and chat with them prior to buying a product.
Founder and CEO Aune Aunapuu, a former environmental lead at a Nordic consultancy company, began the corporate in 2017 when she were given the “entrepreneurial itch” and noticed an opening out there for a secondhand market in Africa.
“I individually imagine that sustainability and sustainable style will unfold everywhere the arena,” she instructed Insider. “The west – Europe and the United States – is solely main the rage.”
The craze business was once liable for 4% of world emissions in 2018 – equivalent to the blended emissions of France, Germany, and the United Kingdom, in step with McKinsey. Aunapuu needs to carry unused garments again into the marketplace “in a hassle-free approach,” so customers in the end purchase fewer new garments.
The corporate operates an app and website online which can be recently to be had in South Africa, Kenya, and India. Aunapuu hopes to at some point dominate the African marketplace and has constructed geographical nuances into Yaga’s core merchandise, she mentioned.
“I went to Instagram and checked out how folks purchase and promote secondhand in South Africa and Kenya,” the founder mentioned. She additionally went to Fb Market and Twitter and requested dealers the place and the way they promote, how they delivered pieces, how they communicated with patrons, and vice versa. Then she went to Instagram and requested thrift retail outlets what their wishes have been.
“What got here out of that was once that folks, particularly in rising markets, are very afraid of having scammed on-line,” Aunapuu mentioned. “Yaga is recently a scam-free platform as a result of we’re providing the escrow style and mediating bills between the consumer and vendor.”
The corporate does not unencumber bills to dealers till the consumer confirms that the article has arrived and fits its description. By way of doing so, it hopes to battle the dangers related to buying items on-line. Bills also are processed by way of standard strategies in each and every nation; Kenya is aware of cellular bills, in South Africa they use bank cards, and India has more than one choices, Aunapuu mentioned.
“We can not use a world fee possibility like PayPal, as a result of that one resolution does not have compatibility all. This is a country-by-country sport,” she added. The similar applies to supply; the corporate makes use of well known providers in each and every nation as an alternative of a world supplier.
Yaga recently has a workforce in South Africa to offer give a boost to in native languages and hopes to observe this technique in different markets as the corporate grows. Aunapuu additionally had her eye on Nigeria and Ghana.
The spherical was once led via seed traders Startup Sensible Guys, with participation from Trind Ventures, Specialist VC, Rubyligh, and Bolt CEO Markus Villig. Angels traders with backgrounds in Sensible, Veriff, Katana, and Klaus additionally passed the startup tests.
The money, which brings the corporate’s general raised to three.3 million euros ($3.3 million), will likely be used to double down at the South African marketplace whilst accumulating information on Kenya and India. Headcount will likely be reinforced from 14 to 30 within the subsequent 18 months.
Take a look at the 11-slide pitch deck the corporate used to lift the money.