Y-Combinator, 500 Startups, PlugAndPlay invest in odiggo’s $2.2m seed round
Currently, Odiggo services over 45,000 users, across 3 markets and works directly with over 300 merchants.
Dubai based Auto-tech app Odiggo are drawing record level funding as they secure their latest investment round with three of the world's top seed-stage VC’s; Y Combinator, 500 Startups and PlugAndPlay.
After launching in December 2019 with trailblazing success in the region, the groundbreaking car service specialist, Odiggo has succeeded in securing a world-first by having 3 of the world's top seed-stage VC’S on board.
The automotive-tech app is on a mission to make car owners' lives easier by providing a one-stop-shop for everything car-related. The online platform conveniently links car owners to dealerships to present the customer with an abundance of options and the best prices in the market. This allows customers to be provided with a quick, easy and affordable service at the touch of a button.
Currently, Odiggo services over 45,000 users, across 3 markets and works directly with over 300 merchants, this can be seen in the 40 per cent month on month consistent growth and 200 per cent user base increase at the start of the pandemic.
The automotive tech company is led by a team of technology experts who demonstrate global experience from billion dollar companies including FIFA, Hyundai, Jumia and Reckitt Benckiser to name a few. They join previous Regional VC’s Seedra Ventures, Lofty Inc Capital and also Essa Al-Saleh (Volta-Tucks CEO, the electric vehicles manufacturers) who will also be investing again for the third time.
“We believe we are at a watershed moment,” said Ahmed Omar Co-founder of Odiggo. "It is incredible that since covid hit, Odiggo has experienced over ten times growth in the last year.” The COVID-19 pandemic, which has upended the shared mobility sector, ride-hailing and public transportation, has Odiggo and fellow Auto-tech venture capitalists focused on logistics and supply chain visibility — two areas that have promise in this COVID-oriented world.
According to Idris Ayodeji Belli, Managing Partner, LoftyInc Capital Management, " we are excited to back Odiggo through our Afropreneurs Funds in its quest to transform the automotive parts market, and provide superior service to clients, starting from Mena. The leadership team of Omar and Naser, supported by the rest of the employees have been a joy to work with and we are on a countdown to the IPO!"
Speaking further, he said, "At LoftyInc, we are always looking for balanced founding teams, with a bias towards execution, going after a large market, and Odiggo epitomizes all of that."
Odiggo has raised an astonishing level of investment to the tune of $2.3 million in the seed stage, an indication that private capital markets do understand the significance in the future of Auto-tech. Boutique research and advisory firm
Quilty Analytics recorded $5.7 billion in investments for the first quarter of 2021, a 356 per cent increase from $1.2 billion in the same period last year. “We as co-founders come from a growth background which led us to grow Odiggo exponentially for the past 18 months,” said Ahmed Omar and Ahmed Nasser.
"We are very selective when onboarding, not just talent but potential investors and partners in this company. We realised we were at a time of growth and needed the right kind of partners not just to invest but to help us achieve our highly ambitious goals. This round of investing was the toughest yet, we went through a very rigorous process when trying to find the right fit, even turning down a few firms along the way,” said Nasser.
Over the past few years Ahmed Nasser has been responsible for the growth of many notable startups. An expert in growth/marketing, Nasser decided to join Odiggo’s journey, where he took the company to 100x in 18 months.
“New age players like Odiggo backed by founders who carry deep auto industry and technology experience are disrupting this large market by adopting rapid digitalisation to improve operating efficiency and deliver a better experience to car owners." said Seedra Ventures .
Odiggo is the region’s fast growing automotive aftermarket platform, primed to disrupt the regions large Automotive Aftermarket industry, valued at over $28 billion. The industry is expected to maintain solid growth patterns, projected to grow at a CAGR of 6 per cent over the coming 5 years driven by growing demand for vehicle modifications, and the increase in women drivers.
In an industry today worth over $61 billion (Dh224 billion) in the Middle East and Africa alone, this is an exceptional opportunity for Odiggo to use their E-commerce expertise to transcend the market and become the leading company in the industry. “We aim to continue innovating and solving every problem for individual car owners and businesses in an ultra timely manner, not just in the region but globally” said Omar.
Following their latest round of highly successful investments, Odiggos top priority will now be consistent growth. “We raise to fuel our growth. That's the main thing, so mainly it’s focusing on technology and expanding our team inUAE, Saudi Arabia and Egypt.” said Omar.
Since Odiggo taps into a mix of data sources — including car metrics and internal software it can use that same information to identify opportunities. Part of Odiggos seed-stage funding will also be used to continue developing their deep-tech dashboard software. For example, the platform would be hooked up to the car owners vehicle and link the vehicle to the marketplace and provide frequent updates of your vehicle condition so you’ll be informed if the tyres are low, the oil needs changing or if a service is required.
“We are on our way to IPO by 2024 with #BillionBookings as our next achievable goal. We are building an ecosystem for all car owners , suppliers and mechanics. We aim to be the first $100 billion dollar company coming out of the region," said Nasser. — firstname.lastname@example.org
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