UrbanPiper, a restaurant management platform that processes 18% of all online food orders in India, has raised $24 million in a new funding round from a number of investors, including Swiggy and Zomato, the three companies announced on Monday.
The six-year-old startup’s Series B funding was led by existing investors Sequoia Capital India and Tiger Global. Pankaj Chaddah, founder of Zomato, Ankit Nagori of Curefoods and Khadim Bhatti and Vara Kumar are among the angels who have also invested in the new cycle.
The vast majority of restaurants that sell online tend to maintain businesses with multiple food delivery startups. This typically means staff at these restaurants must manage multiple business applications and carefully track order flow and inventory across departments.
UrbanPiper operates a single-store application that syncs inventory and commerce feeds with multiple services at once.
“For many restaurants, it is not possible for food delivery companies to offer them the system, the dashboard, the detailed analysis of billing and invoicing. We are able to answer this When we all come together, we can probably all do a better job and move the industry forward,” Saurabh Gupta, co-founder and CEO of UrbanPiper, told TechCrunch in an interview.
“Those channels, their volumes were too high and at that scale, they couldn’t run multiple dashboards.”
The startup is processing 14 million orders per month, up from 2 million in 2019, when it raised $7.5 million in Series A funding, he said. “We have also multiplied by 10 the number of restaurants we serve,” he added.
“A lot of times as a restaurant owner you want to change your prices, add different items, run special campaigns on new brands in certain locations, we provide all of those flexibilities,” he said.
UrbanPiper has also expanded to seven countries outside of India, including some in the MENA and EU regions. With the proliferation of food delivery businesses, restaurants around the world are facing similar challenges, he said.
“The restaurant ecosystem is changing rapidly with changing consumer needs,” Shraeyansh Thakur, director of Sequoia India, said in a statement.
“Due to the disruption caused by the pandemic, merchants are now increasingly keen to embrace digital channels and upgrade their operations. UrbanPiper is at the forefront of this digital transformation and is strategically positioned to build an infrastructure connecting digital players to merchants in the F&B ecosystem. Sequoia Capital India is delighted to deepen the partnership with the UrbanPiper team as they continue their mission to empower restaurants globally, and welcome Zomato and Swiggy to this partnership.
The startup, which operates more than 27,000 restaurants in eight countries, plans to roll out the new funds to launch in other parts of India, MENA and the EU and aims to onboard more than 200,000 restaurants over the next two years, he said.
“UrbanPiper is one of our key partners, allowing us to seamlessly engage with restaurants and scale faster through their point-of-sale solutions. Responding to specific needs, the team has always found ways to fill in the gaps creating a win-win situation for restaurants and Swiggy. We are excited about the market potential and look forward to growing our network of partners with their continued support,” Sriharsha Majety, chief executive of Swiggy, said in a statement.
The investment in UrbanPiper is the latest strategic support from Swiggy and Zomato. Bengaluru-headquartered Swiggy last week said it led a $180 million funding round in bike and taxi aggregator Rapido. Zomato, which recently struck a deal to acquire instant delivery company Blinkit, has backed a number of other ventures, including logistics startup Shiprocket, savings app Magicpin and fitness startup Curefit.