Former Flipkart exec Ayyappan R's latest venture raises $8M in seed funding
Ayyappan's FirstClub plans to use the funds for platform building, add more offerings, and set up its omnichannel play.
Founded by former Flipkart executive Ayyappan R’s latest venture FirstClub has raised $8 million from Accel and RTP Global in seed funding to build its technology infrastructure and onboard talent.
The funding round also witnessed participation from Blume Founders Fund, Quiet Capital, 2am VC, and angel investors including Binny Bansal (Flipkart), Kunal Shah (CRED), Mukesh Bansal (Myntra, Cult), Lalit Keshre (Groww), Ankit Nagori (Eatfit), and Shrenik Ghodawat (Sanjay Ghodawat Group).
FirstClub is an omnichannel retailer that looks to offer high-quality products in fresh fruits and vegetables, dairy, bakery, nutrition supplements, and health and fitness. Through its platform, expected to go live by the middle of the calendar year 2025, FirstClub will offer high-quality products within quick commerce delivery timelines of under 30 minutes.
Through the latest infusion, it initially plans to set up a few dark stores in Bengaluru and then later plans to expand with experience centres. It will also build its technology infrastructure, refine an omnichannel retail strategy, add talent for critical functions, and expand the platform’s product offerings.
Ayyappan, previously the Chief Business Officer at Myntra, looks at the venture as a market creation opportunity amid the intense competition within quick commerce operators for market share.
“The Indian consumer’s mindset has changed quite a bit, especially in the last few years. They want to spend a lot more on discerning products, high-quality products, and premium products. If they know that this is the incremental benefit that I'm going to get, with quality, freshness, or with the ingredients used, they are happy to shell out that extra money to buy that product. So that is the customer base we are going behind,” Ayyappan told YourStory.
FirstClub, which is poised to compete with offerings like Swiggy's Handpicked and offline chains like FoodHall and Nature’s Basket, relies on setting up supply chains as close as possible to manufacturers to rein in pricing and offer premium products in an affordable format.
“FirstClub is reimagining retail for India’s consumers by addressing their growing demand for premium products and services. By focusing on unparalleled quality, convenience and trust, Ayyappan and his team are redefining what modern retail can deliver,” noted Barath Shankar Subramanian, Partner at Accel.
Unlike popular quick commerce platforms which are gung ho about tapping on advertising dollars to increase the profitability of the platform, FirstClub is not looking to add ad monetisation. Instead, the platform is focusing on variations of a membership model with a subscription format to drive repeat purchases.
Edited by Kanishk Singh
