OfficeYes set to clock over $2 mn in annualised sales, wants to open warehouses in Mumbai, Bangalore and Calcutta
Rocket Internet backed OfficeYes.com which went live in May this year is set to turn over annualised sales of more than $2 million by conservative estimates and wants to launch warehouses in Mumbai, Bangalore and Calcutta in the next month or two, a top company official told NBW.
“The run rate is growing dramatically,” said Siddharth Nambiar, Co-founder and Managing Director of OfficeYes.com . He added that that the company has acquired over 1000 customers and is now a 75 member team.
“By the end of the year, we want to be a 100 member team,” said Nambiar.
Besides small and medium businesses, the Gurgaon based company has also seen large companies like General Electric, Microsoft and ICICI Bank buying from them.
“Once we setup in Bangalore and Mumbai, we expect the delivery time to improve. Right now we commit to 4 days, deliver in 2-3 days outside Delhi and in a day in the capital region,” Nambiar said.
The startup sells stationery, furniture, printing and gifting material to businesses online and is up against many offline players as well as most online retailers wanting to sell school and office supplies. However, the market is quite large, believes Nambiar.
“We are easily talking about a $10 billion market if you take just the office supplies. Then there is school supplies, furniture and many other ways to look at the business,” he said.
Officeyes is targeting to fulfil 70 % of orders the same day and is also increasing its geographic reach. According to Nambiar, Mumbai will eventually cover Ahmedabad and Pune and Bangalore will cover south.
The company, founded by Nambiar and Arvind Sivdas had raised $2- $5 million from Rocket Internet and a US based venture capital firm.
One of the challenges b2b companies in India face is the lack of trust. The problem of getting small and medium businesses to get to trust an online business with large amounts of cash is tough. “Its a fascinating problem to tackle. We make sure we talk to the customer when their behavior indicates that they need help,” says Nambiar.
Larger companies like Staples that operate in the same space sell mostly to large companies and that is where OfficeYes sees opportunity.
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