Mumbai based online grocer Localbanya has announced its expansion into Pune, putting to use the Series A funding it raised from Shrem Strategies late last year.

localbanya

The company began testing deliveries in Pune since early February and commenced full-scale operations on February 20.

If everything goes according to plan, Localbanya will launch its service in an additional 4-5 major metros in India shortly.

The startup has been part of the online grocery segment in Mumbai since 2012, but is looking to take its service pan-India having achieved the right scale.

Rival BigBasket too havs been stepping up expansion plans, backed by a $32 mn round of funding in September 2014. There seems to be a sense of growth urgency in the online grocery space ever since Reliance announced its plans to make an entry.

In three years, Localbanya has a accumulated a database of 1 lakh shoppers, currently lists over 14,000 products on its website, and makes between 850 – 900 deliveries/day in Mumbai (average cart value of Rs 1,400).