CashKaro, cash discount site is all set to raise around $5-$10 million in Series A from investors led by Kalaari Capital.
According to sources, the cashback site plans to use the fund to expand its services and operations to planning to Russia, Singapore, Malaysia, and the Gulf countries. Besides it plans to add new features on its site as well. Recently the company has launched a product discovery and price comparison feature.
Consumers can now see what cashback offers, and coupons are available at product level, thereby making an informed buying decision across sites.
Founded by Swati Bhargava and Rohan Bhargava (couple), the company had raised a seed round of $750,000 last year from some angel funds from the UK in 2013. The couple started with a similar venture called pouringpounds.com in the UK.
Cashkaro declined to respond to a query on fundraising from Business Line.
The site, which offers cash discounts to people who buy things online through its website, has over 500 e-commerce sites partnered on its platform including ecommerce companies such as Amazon, Jabong, Flipkart and Paytm.
Swati Bhargava in an earlier interview with Business Line had said that even as e-commerce in India is all set to be a $100-billion industry by 2020, this unprecedented growth has led to the growth and emergence of several affiliate/ancillary segments, including the cashback segment.
CashKaro.com, one of the first players in this segment to have started business in 2012, recently crossed ₹10-crore mark in cashback payments and expects to cross the ₹25-crore mark in the next 9 months.
CashKaro.com has driven over Rs 150 crores of sales to its partners and the business is growing at 30-40% per month, she had said and added that at present over 1.5 million online shoppers earn cashback every 15 seconds via CashKaro.
With the growing traction of cashback sites, retailer commissions have improved considerably and so have the cashback percentages.
Globally, it is billion-dollar business. Ebates.com, largest US cashback site was recently acquired by Rakuten for $1 Billion. Quidco.com, largest UK cashback site is rumoured to be worth over $500 million.
With 32 people working for it, the company hopes to achieve break even by the end of next year.