Gurgaon-based furniture rental start-up Cityfurnish.com has raised an undisclosed amount of funding from Brand Capital, the investment arm of media conglomerate Bennett, Coleman and Co. Ltd. (BCCL). Cityfurnish plans to advertise its brand and offerings through various media publications of Bennett, Coleman & Co Ltd, which operates as Times Group. The partnership is a significant step in propelling the brand to newer heights as it seeks to increase its footprint to 6 metro and tier one cities and to become a sought after brand in premium lifestyle products rental space. This round also saw the participation of existing investors of Cityfurnish further strengthening their confidence in Cityfurnish.
The startup is already operating in Gurgaon, Delhi and Bangalore and now planning to launch its services in Pune and Mumbai soon. Cityfurnish aims to revolutionize the rental industry in India by making renting affordable and easy. With the advent of shared economy and rise in dislocation among the millennials, renting is set to increase and Cityfurnish wants to capture this market.
Announcing the investment received, Neerav Jain, Founding Director of Cityfurnish said, “We are happy and excited about our new association with Times Group. We intend to leverage their ability to build brands through their prestigious advertising channels. We foresee a new elevated status for our brand, which shall help us expand faster in new cities.”
The rental market in India is still in a nascent stage with unorganized vendors and payment networks aplenty. With the entry of start-ups like Cityfurnish, this is set to change. Cityfurnish’s focus is on creating a rental ecosystem that would enable the highly mobile urban population to access premium lifestyle products at easy and affordable rentals.
Currently, Cityfurnish offers a variety of home furniture and furnishing on affordable monthly rental plans. It has also launched a new category of exercise equipment recently. “We want to become a one-stop solution for premium lifestyle products on rent,” said Neerav Jain, founder of Cityfurnish.
Last year Cityfurnish has raised undisclosed amount of seed fund from Citrus Pay’s co-founder Jitendra Gupta. Cityfurnish was conceptualized by Neerav Jain in August 2015 and was launched in late September 2015.
How CityFurnish Works?
Once you place your order for the product of your choice from the website, you are required to provide mandatory documents at the time of delivery. You have to pay the rent as well as a security amount as well. Once your rental tenure is over, their team will call to schedule the pickup date and time. Their team will take pictures of any scratches and damages observed at the time of pickup and will bring the same into your notice.
Rental Market in India
Sharing economy is the talk of the town. From bikes to cars to renting out rooms, shared economy has seen many takers. With the rise of Airbnb, renting out has expanded to other commodities as well. The advantage of shared economy is that with the rise of online users, an advertisement will earn you money for your skills or renting the commodities. Share economy is beneficial and economical for the buyer. For the one who rents it out, he/she earns money by renting out that extra chair or bed!
As per EY & Nasscom report, the global sharing economy is forecasted to grow at a CAGR of 139.4% to reach US$115 billion by 2016 from US$3.5 billion in 2012.
CityFurnish competes directly with startups like RentoMojo, Furlenco, GrabOnRent, RentOnGo. RentoMojo is backed by Accel Partners and IDG Ventures whereas Furlenco is funded by Lightbox.
Hope that Brand Capital’s backing will provide the much-needed boost for Cityfurnish to expand to other markets as well as place their mark in the existing markets over their competitors.
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Image Source : CityFurnish