Big retail dominates consumer communities around the world and Pakistan is no different. Fintech start-up SnappRetail offers micro and traditional retailers in Pakistan a suite of digital solutions to help them stay relevant and competitive.
In doing so, SnappRetail is announcing $2.5 million in pre-seed funding to expand the business across Pakistan. The round was led by Zayn Capital’s BitRate Fund with participation from Antler and Century Oak Capital. Based on Crunchbase data, this is one of the largest pre-seed rounds raised in the sector in the country.
SnappRetail offers retailers point-of-sale (POS) tools and a digital operating platform – a micro-business system for end-to-end store operations – that helps traditional retailers increase their margin and their revenues while helping upgrade micro-retailers who are losing out to growing modern supermarkets due to inefficient operations, poor cash flow and cluttered in-store displays. Through the deployment of SnappRetail POS hardware and a sales-focused data optimization operating system, they will have access to microcredit for working capital, the ability to accept digital and card payments, achieve cost savings and increase their sales.
SnappRetail was co-founded in 2021 by Adeel Rasheed (ex-Unilever), Moazzam Ali Khan (ex Unilever/L’oreal), Ahsan Aziz (ex TRG) and Moiz Ali (ex Primatics Financials). SnappRetail is their second startup after founding retailer recruitment consultancy Resource Linked, which has placed employees at more than 100,000 retailers. They have seen up close and first hand the spread of the retail industry across Pakistan. Retail trade is the second largest contributor to Pakistan’s GDP at $170 billion and an industry comprising 3 million businesses.
Adeel Rasheed, CEO and Co-Founder of SnappRetail commented: “It is hard to believe that the retail trade, which contributes so significantly to Pakistan’s GDP, still operates with pen and paper. There is little or no data to allow these companies to make meaningful decisions and, most importantly, to seek funding to help them succeed. They’re running out of revenue, and we’re moving retailers from manual to digital ways of working in all their day-to-day store tasks. We anticipate that this change in approach will help them increase their revenue by 25-50%.”
Moazzam Ali Khan, co-founder of SnappRetail added: “Our ambition is to support retailers and we will collaborate with the industry because the real winner will be the customer in terms of product choice, service and price. We believe the entire retail and startup ecosystem is working to improve the livelihoods of traditional retailers, grocery stores and beyond. We are trying to create an ecosystem where all aggregators and other applications can enter and take advantage of our core platform. With our pilot, we found that the retention is very high and the raw value of transactions through the system is extremely high compared to any other game.”
Faisal Aftab, General Partner and Co-Founder of Zayn BitRate Fund, commented: “Being a globally proven concept, there is no doubt that SnappRetail has the right approach to solving the retailer’s core problem. We were particularly impressed with the experience and maturity this founding team brings to the table, finding the right balance between hypergrowth and burn management. This balance is the need of the hour as SnappRetail prepares for national and eventually international success.”
Jussi, General Partner and Founder of Antler, commented: “Having invested in similar games globally, we have witnessed the immense market potential of this industry. We have been deeply impressed with the vision that SnappRetail brings to Pakistan’s tech industry and we look forward to seeing them build on their great progress.”