Facebook marks its second move in the Indian startup ecosystem. The social media giant invested an “undisclosed amount” in the social commerce app, Meesho. Meesho enables resellers, microentrepreneurs and SMBs to connect with potential buyers through social media. With this, Facebook believes that it can be an ally for India’s internet growth.
The Indian startup ecosystem saw the social media giant making another move. Facebook has invested in the Bengaluru-based social commerce startup, Meesho. This was its second investment in India.
Ajit Mohan, Vice President and Managing Director for Facebook India, revealed that the company had bought “minority stakes” in the startup. Yet, he did not disclose the actual investment capital.
In July 2014, Facebook acquired Little Eye Labs. This was also a Bengaluru-based startup. It makes a software tool to analyse the performance of Android apps. The deal was signed for a reported $10-15 million. This was the first time Indian startup space saw investment from the giant.
Meesho to work forward with Facebook
Meesho is an online marketplace that connects sellers with potential buyers on social media platforms, like WhatsApp. The young startup has more than 2 million resellers. This network largely deals with apparel, home appliances and electronics items.
What attracted Facebook the most was that the startup has two million resellers. Out of that, more than 80% are women. Most of them are starting a business for the first time. This, in turn, will boost female entrepreneurship in India.
The startup has seen great progress in just 4 years. Getting investment from the hot shot, the company wishes to use the capital to further its growth plans.
Facebook has observed and worked with SMBs. It has helped them grow their businesses.
Ajit Mohan said he believes that SMBs can have a huge impact on the Indian growth story. With their potential and number of such companies in India, it can really make a difference. The company wants to go a step further to strengthen the entire ecosystem for SMBs in the country.