Marketplace startup Warrp has extended its seed funding window to the end of August as the company’s new user signups jumped 138% in July.
The startup is in discussions with prospective seed funding partners after receiving competitive interest from investors and has decided to keep expressions of interest open over the next month.
The seed funding will enable new product developments and existing feature upgrades to help reach its yearly revenue over monthly active user ratio of A$28.72.
Warrp co-founder and CEO, Matthew Ng, said the ratio played an important role for tech companies because the value of their active users and how they interact with their platform to produce revenue is a value that can be benchmarked.
“Our ratio is on the same level as the likes of US company StockX, which is currently valued after its latest Series E round at US$3.8 billion (A$5.16 billion) with a ratio of US$26.67 (A$36.19),” he said.
“We have made huge strides forward recently, cementing a Top-100 Australian Shopping Category app store ranking in July.
“Our App Store optimisation strategy with global app marketing agency, Studio Mosaic, has drastically improved our cost-per-acquisition and organic user engagement, and we’re tracking towards a Top-50 ranking very soon.
“With an Android and web platform launch in August 2021, plus Google Shopping, Instagram Shopping and Facebook Shop auto-listing integration, we’ll be scaling rapidly with an expected break-even point of June or July 2022.”
Warrp co-Founder and CTO, Roman Granovskyi, said the company was working on future projects to improve key metrics and strengthen the user experience.
“We have several pipeline projects in development including a secure marketplace for trade and service providers, Warrp-branded up-cycle products that are eco-friendly, partner advertising and smart ad revenue initiatives, and evolving payment options such as a WPay buy-now-pay-later PayID solution,” he said.
“We are looking for the right investors who are ready to work with a team dedicated to optimising and growing Warrp to become the safest pre-owned goods marketplace in what is a A$46 billion per year Australian resale industry.
“We understand that the C2C space is a challenging one, but we truly believe we have the right mix of user offerings, tech know-how and business management skills to achieve success in this field.
“We are committed to Warrp’s success and will be cycling revenue back into the company without drawing a wage until we turn a profit.
“When COVID shuts the door on brick-and-mortar stores, the door to ecommerce opens.”
Warrp has several first-to-market initiatives including a dynamic crowd and community machine learning pricing system, featured video listings, a PayID-only wallet top-up and withdrawal payment function, escrowed transactions, and its Safe Meetup & Pickup delivery method.
Matthew Ng spoke to Startup Daily about his plans for Warrp and the seed round. Click on the video below to hear what he had to say about it.
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