Snabbit is an up-and-coming competitor in the on-demand home services space. It recently reported an even more impressive 180 million dollar valuation, which has doubled in just five months time! The recently-founded company—which officially launched in 2024—has accomplished a lot in a short time. It provides highly valued and diverse services to the urban household from sanitation and dishwashing, clothes washing and food drying. With an eye toward increased efficiency and a better customer experience, Snabbit has surpassed 300,000 total orders as of Oct. 2023.
The company’s model is based on an exclusive hyperlocal branch network of rigorously vetted and trained workers, parked near high-density residential markets. Snabbit has based this work model to accomplish even greater efficiencies in his work. Now, workers barely walk an average of 250 meters to between jobs, previously 300m. Transformational impacts You might like… Of course, with a customer acquisition cost of “well below” ₹500 (less than $6) Snabbit has set itself up nicely in this competitive environment.
“Snabbit promises service within 10 minutes and reports a retention rate of 30–35%,” stated Aayush Agarwal, the founder and CEO of Snabbit. This quick service deployment and impressive retention rate reflect the company’s focus on customer satisfaction.
The Snabbit workforce is unique in that it features the world’s only 100% women-led fleet of 5,000 women experts. Currently these workers are receiving a monthly salary of ₹25,000 – 30,000, or about $284 – 340. Through their ongoing initiatives, they empower the potential of women leaders to create a strong workforce and ensure exceptional service for customers.
Recently, Snabbit closed a new round of $30 million funding, bringing its total funding so far to $55 million. This financial injection will enable the company to accelerate operations in its existing cities and further grow their footprint. It will help to spur that growth into new markets such as Hyderabad, Chennai, Delhi, and Calcutta.
Aayush Agarwal also touched on the strategic approach that Snabbit has taken in how it operates. “We’re basically taking inefficiency in the model and plugging that, rather than saying, ‘Hey, this was happening offline, and now we’ll do it online,’” he explained. This approach has allowed Snabbit to thrive in a hyper-local business landscape where success is determined by performance in micro markets rather than broad geographic areas.
Snabbit’s users are mostly between the ages of 30 and 40. These people often consist of the core group of bachelors and working professionals who expect on-demand convenient, efficient home services. The company’s highly targeted strategy has helped it build sticky market share in micro markets. Now it is in fierce competition with providers such as Urban Company.
“In a hyper-local business, you don’t win pan India. You win micro markets,” Agarwal stated. “And today, out of the micro markets where we both [Snabbit and Urban Company] are present, Snabbit is leading in more micro markets because we have taken a very positive strategy to build depth as opposed to build breadth.”
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