Scottish convenience store delivery platform bags 'seven-figure' funding after record year
The funding round, which was led by major investor Highland Technology, and also includes Kelvin Capital and Scottish Enterprise, will be used to continue to invest in the Duindee company’s growth and core technology platform. Snappy is behind an app and website - launched in Dundee in late 2017 - that allows consumers to order groceries from their local convenience store.
The business has achieved triple-digit average annual revenue growth since its inception and strong growth is said to have continued post pandemic. So far, Snappy Shopper has been focused on the UK convenience sector but bosses plan to expand the venture to other high street retailers as well as internationally. It has reached several milestones this year with 50 million products sold and more than five million orders placed through the platform with continued record-breaking order volumes.
Chief executive Mike Callachan said: “This round of investment signals the next chapter for Snappy Shopper. Following another record-breaking year, we have continued to onboard new stores at pace and deliver record numbers of orders. Our capital light model uniquely places us to grow in a challenging business environment as consumers continue to value convenience and local businesses. We are excited about the path ahead and grateful to have such supportive investors with us on the journey.”
Niall Santamaria, chief investment officer at Highland Technology, said: “Snappy Shopper’s business model sets them apart from their rivals who rely on expensive site leases and fit outs, holding of inventory and logistics processes, to compete with convenience store retailers. Instead, Snappy partners with thousands of small business owners who have been serving their communities for years, if not generations, and enables them to not only serve their customers better but grow their own businesses.
“I have been really impressed with how Snappy have continued to grow the number of retailers they support and customer orders they process. With an exceptional senior leadership and broader team now in place, we expect them to continue their impressive growth trajectory across the UK and into Europe, and I look forward to working with Mike and team on this journey.”
Kerry Sharp, director of entrepreneurship and investment at Scottish Enterprise, added: “Snappy Shopper has become an established name in communities across Scotland, and is an excellent example of how e-commerce can work in partnership with local retailers to the benefit of customers. Scottish Enterprise was pleased to participate in Snappy Shopper’s latest investment round, which will further enhance the company’s innovative technology platform. We look forward to continuing our partnership with Snappy Shopper as it delivers potential growth opportunities and increased services to consumers.”
The Snappy Group is formed of two businesses, Snappy Shopper and Hungrrr, providing technology services to the growing UK convenience grocery and hospitality sectors, respectively. The business raised millions of pounds in a previous funding round as it looked to grow its footprint and create jobs.
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