Y Combinator, 500 Startups, Plug and Play invest in Odiggo’s $2.2M seed round – TechCrunch

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Servicing one’s automobile personally is a time-consuming, costly and painstaking course of. It’s a cycle that may result in costlier repairs and issues of safety down the road, and no automobile proprietor likes that.

Egypt and Dubai-based auto tech startup Odiggo is a platform addressing this drawback. It permits automobile house owners to get the assistance they want by discovering automobile companies and components suppliers from suppliers round them. Then for the suppliers, it will increase their gross sales and reaches extra prospects with out essentially spending on advertising and marketing.

Odiggo is an element of the present YC Summer time batch and has secured a $2.2 million seed spherical earlier than Demo Day. The rosters of current traders taking part within the spherical are Y Combinator, 500 Startups, and Plug and Play Ventures. Regional VCs like Seedra Ventures, LoftyInc Capital, and Essa Al-Saleh (CEO of Volta-Tucks) additionally took half.

Ahmed Omar and Ahmed Nasser launched Odiggo in December 2019. The corporate operates a market that connects automobile house owners with service suppliers who can clear up their issues, from servicing and restore to washing and upkeep. A commission-based mannequin is used and Odiggo prices the automobile suppliers 20% fee on each transaction.

Over 50,000 automobile house owners throughout three markets — Egypt, the UAE and Saudi Arabia — use Odiggo. The corporate additionally works straight with over 300 retailers. It claims service provider numbers have grown 40% month-on-month whereas its consumer base has elevated 200% because the begin of the pandemic.

We imagine we’re at a watershed second. It’s unbelievable that since COVID hit, Odiggo has skilled over 10 instances progress within the final 12 months,” mentioned co-founder Omar. 

CEO Omar mentioned with this new spherical, Odiggo’s precedence can be to attain constant progress whereas increasing its crew throughout the UEA, Saudi Arabia and Egypt.

Odiggo

L-R: Ahmed Nassir (co-founder) & Ahmed Omar (co-founder and CEO)

He provides that since Odiggo faucets into a mixture of knowledge sources — together with automobile metrics and inner software program, it can use that very same info to offer extra product choices.

Odiggo will use a part of the funding to proceed creating its tech and dashboard software program, he mentioned.

“For instance, the platform would be hooked as much as the automobile proprietor’s car and hyperlink the car to {the marketplace} and supply frequent updates of your car situation so that you’ll be told if the tires are low, the oil wants altering, or if a service is required.”

The pandemic has upended the mobility and logistics sectors, particularly in MENA, making gamers like Odiggo achieve a lot visibility from traders. In an business right this moment value over $61 billion within the Center East and Africa alone, Odiggo is seeking to grow to be a market chief. It has much more lofty plans to go public within the subsequent three years.

“We’re additionally aiming to be absolutely centered on spending extra on our product and know-how, as constructing an ecosystem to monetize requires extra capital. Our goal is to go for IPO by 2024 and obtain one billion companies booked, and this requires plenty of community results, infrastructure and know-how,” the CEO mentioned.

“We goal to be the primary $100 billion firm popping out of the area,” added Nasser.

A few of its traders, Idris Ayodeji Bello, managing associate at LoftyInc, and Essa Al-Saleh, are onboard with the startup’s plan regardless of early days.

“We are excited to again Odiggo by our Afropreneurs Funds in its quest to rework the automotive components market and supply superior service to purchasers, ranging from MENA. The management crew of Omar and Nasser, supported by the remainder of the staff, have been a pleasure to work with and we’re on a countdown to the IPO,” mentioned Bello in a press release

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