Styletag – The Fashion Startup Gets Rs. 50 crore Funding
Bengaluru, India | Red Newswire | Nov 17, 2015 Last Updated at 06:22 PM IST.
The online lifestyle and fashion curator startup Styletag has obtained Rs. 50 crore fund from Jitu Virwani, the chairman and managing director of the premium real estate developer – Embassy. Virwani made this investment from his personal capacity.
According to Styletag, the funds obtained will be used in the expansion of the collection of the private labels, team strengthening and further acquisitions.
Sanjay Shroff, CEO of Styletag said Styletag is owned by Intrepid Online retail Pvt. Ltd., and showcases the creations of young artisans and designers.
Shroff started an offline store of the company called ‘Ffolio’ along with his wife Yashodhara long ago in 1991. Shroff said that the company has hit a GMV of Rs. 20 crore in this year and hopes to reach Rs 60-70 crore by the next year.
Styletag’s average basket size lies between Rs. 3,000 – Rs. 4000. Shroff said, “On a good day, we have sales of up to Rs.15-20 lakh and, on a bad day, it is around Rs.5-10 lakh. So, on average, it is aroundRs.12-15 lakh sales per day.”
The company said that it has predicted a scale up to 100 models in less than 2 years across the country. Around 20% of its 750,000 customers are active. The company ships to all states of the country. Shroff added, “We get 50% traffic from metros and 50% from tier II cities.”
As per the Google reports, by 2020 the indian online fashion industry is expected to surpass $35 billion. Also by the end of this year, fashion retail will be counted as the biggest online retail industry.
The other online fashion retailers including Myntra, Jabong and LimeRoad have already raised funds. The Aditya Birla Group also announced the launch of its fashion retail site abof.com in October, further intensifying the competition in the industry.