TradeDepot Raises $10 million In Pre-Series B Equity Round
TradeDepot, a Nigerian business to business (B2B) eCommerce platform, has raised an amount of $10 million in a pre-Series B equity round.
The round was led by Partech, International Finance Corporation, Women Entrepreneurs Finance Initiative (We-Fi), and MSA Capital.
The funding acquired an addition to a $3 million Series A round led by Partech in 2018
TradeDepot intends to use the new investment to continue its integration of the fragmented informal retail chain supply in Nigeria.
This would enable them to expand into other African countries and to launch a suite of financial products and credit facilities to support its retailers.
Onyekachi Izukanne, Chief Executive Officer and Co-founder of TradeDepot said that “we are excited to strengthen our team and welcome on board some incredible strategic investors and partners, as we double down on our mission to digitize and simplify retail distribution for the continent. Africa’s offline retail market is estimated at $1 trillion, and this new investment allows us to capture an even greater segment of that market. We will continue to use data to drive efficiencies and provide an easier stock acquisition service for our 40,000+ retailers, driving down costs for them by negotiating even better deals with our global manufacturing partners, whilst simultaneously providing a better, faster route to market for our suppliers.”
Tidjane Dème, General Partech, commended the Founders of TradeDepot on their ability to successfully address business-related issues in Africa with the aid of technology.
“We are proud to continue our partnership with TradeDepot as they continue their work to transform the huge informal markets that are present in Africa. The founders have a wealth of experience that puts them in a great position to execute on their vision, and their approach and results to-date” he stated.
TradeDepot makes household supplies such as milk, soap, detergent, and other and other essentials more accessible and affordable for the informal urban retail networks it operates in.
It has built a network of more than 40,000 micro retailers in Nigeria since its inception in 2016.
The company also works with distributors and manufacturers such as Nestlé, Unilever, GB Foods, and Danone.
Retailers order and pay for their goods via TradeDepot’s mobile apps, toll-free number or USSD, and have them delivered directly to their stores.
They can also order stock and manage inventory online with a variety of ways to pay including cash and digital payments.
TradeDepot enables direct-to-retail distribution in the informal sector in some of Africa’s busiest cities for consumer goods brands.
The company also provides Customer Relationship Management(CRM) and data management system that enables suppliers to plan and monitor their sales routes in real-time, as well as gain invaluable insights into trade and retail data.