Quick commerce startup BazaarNow has secured ₹72 crore (approximately US$7.8 million) in a fresh funding round led by Peak XV Partners, as the company looks to expand its presence across India’s fast-growing Tier II and Tier III markets.
The round also saw participation from Whiteboard Capital, Antler, and a group of prominent angel investors, including Vidit Aatrey, Karthik Gurumurthy, Prashant Sachan, Arjun Purkayastha, Nitin Saluja, Siddharth Gadia, Ayyappan R, and Aravind Charanyan.
With this latest investment, BazaarNow’s total funding has reached approximately ₹80 crore (US$8.4 million), including its earlier pre-seed round.
The company plans to use the fresh capital to strengthen its supply chain infrastructure, enhance its technology platform, and accelerate expansion into new regional markets.
Building Quick Commerce for India’s Next 700 Cities
Unlike many quick commerce platforms that initially focused on metro cities, BazaarNow is designing its business model specifically for consumers in smaller towns and emerging urban centres.
According to co-founder and CEO Priyanshu Jain, shopping habits in Tier II and Tier III cities differ significantly from those in major metropolitan markets.
Consumers in these regions often prioritize value, local product availability, and simplicity over complex discount structures and promotional offers.
“Our belief is that quick commerce for the next 700-plus Indian cities needs to be built differently. Customers should receive relevant local assortments, fresh products, easy ordering experiences, and transparent pricing without relying on complicated coupons or cashback schemes,” Jain said.
The company aims to align its platform with existing consumer purchasing habits rather than attempting to replicate metro-centric commerce models.
Peak XV Backs Localized Commerce Strategy
Investors see BazaarNow’s approach as a differentiated play in India’s increasingly competitive quick commerce sector.
Abhishek Mohan, Managing Director at Peak XV Partners, said the founding team brings deep operational expertise across ecommerce and quick commerce, allowing them to build a model tailored specifically for underserved regional markets.
He noted that the company is focusing on creating a commerce experience that is local, efficient, and highly relevant to the purchasing behavior of millions of Indian households.
As competition intensifies among major players such as Zepto, Blinkit, Instamart, and BigBasket, regional and localized commerce models are emerging as an important growth opportunity.
Experienced Founders Driving Growth
BazaarNow was founded by Priyanshu Jain, Arjun Harish, and Tarithmay Mandal, a team with extensive experience in ecommerce, supply chain management, product development, operations, and category management.
Before launching BazaarNow, the founders held leadership positions at several high-growth consumer technology companies, including:
- Zepto
- Myntra
- Swiggy
Their experience across logistics, pricing strategy, customer acquisition, and operational scaling has helped shape BazaarNow’s approach to quick commerce in non-metro markets.
Expanding Product Categories and Regional Reach
Over the next 6 to 12 months, BazaarNow plans to significantly expand its footprint across neighboring towns and regional markets.
Key areas of focus include:
- Expanding grocery and daily essentials categories
- Strengthening local supply chain networks
- Improving fulfillment efficiency
- Enhancing customer experience
- Introducing greater support for regional languages
- Personalizing offerings based on local purchasing patterns
The company believes that localized assortments and culturally relevant shopping experiences will be critical for winning customers outside India’s largest cities.
India’s Quick Commerce Market Continues to Grow
India’s quick commerce sector has emerged as one of the fastest-growing segments within the country’s ecommerce ecosystem.
Driven by changing consumer behavior, rising smartphone adoption, improved logistics infrastructure, and increasing demand for convenience, quick commerce platforms are rapidly expanding beyond major urban centers.
Industry analysts expect the next wave of growth to come from smaller cities and towns, where internet penetration is rising and digital commerce adoption continues to accelerate.
This shift presents significant opportunities for startups focused on hyperlocal fulfillment, regional product selection, and value-conscious consumers.
BazaarNow Bets on Regional India
As India’s quick commerce battle moves beyond metro markets, BazaarNow is positioning itself to capture demand from the country’s vast underserved population in Tier II and Tier III cities.
With fresh funding, an experienced leadership team, and a strategy centered on local preferences and operational efficiency, the startup aims to build a scalable quick commerce platform tailored to the unique needs of regional India.
The latest investment provides the company with the resources needed to expand its reach, strengthen its infrastructure, and compete in one of India’s most dynamic consumer technology sectors.
Ruchi Kumar is the associate editor at Entrepreneur News Network and TVW News India, where she leads editorial strategy, brand storytelling, and startup ecosystem coverage. With a strong focus on innovation, business, and marketing insights, he curates impactful narratives that spotlight India’s evolving entrepreneurial landscape. She has written extensively on fintech, AI and emerging startups.