Social gifting is one avenue that has seen a lot of potential both in international and Indian markets. Earlier in the day Facebook made news with its launch of physical gift cards that brought light to the social gifting business. With the gift cards the company has made it clear that it has a strong belief in the gifting and payments business.
Back in India, Delhi based social gifting startup, Giftology has raised a seed round of funding from Kiran Sidhu, reports YourStory. Giftology is a startup in the social gifting venture that makes gifting process simple. It allows users to connect to Facebook and offer friends redeemable gift vouchers both paid and free. Initially the startup had been offering free coupons but recently it started offering paid gifts along with the free ones, as reported by Watblog. The paid section cost ranges from Rs. 100 – Rs. 1000.
The undisclosed funding from Kiran Sidhu who is the Chairman of Transact Network will be used for expansion of the team which is now at a size of 10. Along with this the founders Nikhil Sama and Aman Narang would be investing the funds in enhancing the product and rolling out mobile apps across all platforms. In addition to the funding, now the startup has also appointed Varun Vummidi as the CEO. Varun previously working as an entrepreneur in residence at Jabong.
The gifting space as discussed earlier is becoming a crowded space in India. Startups like Giveter, Badhai, 99presents, etc. are also in the same space. To add to this most of the gifting startups are surviving on Facebook as a platform. At present there are no challenges but – as is being advised – building apps or products on social media platforms like Twitter and Facebook is suicidal. We have seen how both the giants have killed apps by refusing to share their API.
Do you see the Indian social gifting business growing in the coming times?