Tea Chain Startup Chaayos Raises $53M In Series C Funding
Chaayos, a New Delhi-based chai cafe chain, has raised $53 million in its Series C funding round led by Alpha Wave Ventures. The funding round also saw participation from its existing investors, Elevation Capital, Tiger Global Management, and Think Investments.
As per the startup, the freshly raised capital will be used for tech enhancement, hiring, and store expansion.
Chaayos | Meri Wali Chai
Started by two IITians-Nitin Saluja and Raghav Verma, in 2012, Chaayos is a technology-led chai cafe chain. At Chaayos, guests can personalise their fresh cup of tea in 80,000 combinations.
Speaking about the development, Nitin Saluja, Founder and CEO of Chaayos, said,
“The latest capital raise will help us deepen our technology investments to further enhance our guest experience… We will continue to grow our cafe footprint and go deeper into our existing cities and explore new markets. We are also continuously on the lookout to hire talent to handle the scale we aspire for.”
Chaayos’ patented IoT chai bots called Chai Monks are deeply integrated with “Kettle”, a Chaayos’ proprietary point of sale, and brew a fresh cup of personalised tea to guest’s preference as soon as the order is placed.
Presently, the New Delhi-based chai cafe chain runs 190 stores across six cities. It plans to add 100 more by the end of 2022.
Following an omnichannel approach, the New Delhi-based chai cafe chain leverages both offline and online marketplaces to sell its pre-packaged snacks, besides multiple other SKUs. As per the startup, its online tea deliveries account for 45% of the startup’s revenues.
Commenting on the development, Navroz Udwadia, Co-founder of Alpha Wave Global, said,
“We are excited to partner with Chaayos. Its team has been able to deliver personalised tea consistently well at scale through proprietary systems and technology. We are impressed by the team’s customer obsession, which is visible in its best-in-class unit economics and customer NPS.”