Dublin start-up Buymie has raised €2.2m and has signed a multi-year deal with Lidl.
Irish online grocery start-up Buymie has raised €2.2m from existing and new investors.
Buymie has created a platform using artificial intelligence (AI) technology, that enables consumers to access multiple large grocery retailers and receive short notice delivery to their chosen destination in as little as an hour.
“The money raised will help Buymie scale up their offering and provide a pathway to international markets”
The company has entered into a multi-year partnership agreement with Lidl Ireland, where it will provide a personalised online grocery service for the retailer.
Consumers are also able to use their Buymie application to shop from Tesco in Ireland.
Currently, the Buymie service is available to more than 490,000 households across Dublin as well large towns in Kildare and Wicklow.
Buymie was founded in 2015 by Devan Hughes and Artavazd Sokhikyan as a mobile app for on-demand groceries where customers can order goods and have them delivered within an hour.
The investment comes from Irish venture capital firm ACT Venture Capital, Sure Ventures plc as well as from Buymie’s chairman Eamon Quinn, son of the late Feargal Quinn who founded the Superquinn supermarket chain. Funding is also coming from Haatch Ventures, BVP Investments and Enterprise Ireland.
Sure Ventures plc director Gareth Burchell said that the current Covid-19 situation has led to a significant demand for online grocery shopping that has been hard for supermarkets to fulfil and highlights the fact that their distribution models cannot cope currently with the significant increase in demand.
The Buymie model is designed to scale, with a network of hundreds of independent shoppers and this scale can be achieved in a matter of weeks rather than months.
Burchell said that the deal with Lidl and the current “lockdown” situation has seen a 300pc uplift in downloads.
“This is a very exciting investment, regardless of the strength in demand created by the current Covid-19 scenario,” said Burchell.
“Recent consumer trends have centred around convenience and efficiency, especially when completing everyday tasks we would rather avoid. The money raised will help Buymie scale up their offering and provide a pathway to international markets.”
Devan Hughes, CEO and co-founder of Buymie, added: “We’re thrilled to be announcing this latest funding round as well as a further strengthening of our partnership with Lidl Ireland. The timing couldn’t be better given the current challenges faced by consumers in Ireland and worldwide with Covid-19. I feel that it is down to emerging indigenous businesses like ours to play a key role in shaping the Irish economy to prepare it for the way the world will work and how people will shop post-Covid.
“The growth in market share experienced by both organisations in 2019 alone has been staggering and the team and I are excited to be in a position to now expand our capacity and provide more access to consumers in this time of need.
“Having been in the Irish market now for over three years, Buymie is in a position to take a longer term view of the Irish market. The advanced optimisation technology we’ve developed has leapfrogged pre-existing models, and we have now created a hyper-growth, capital efficient channel for large retailers who wish to partner with us to service their local communities.”
Written by John Kennedy (email@example.com)
Published: 28 April, 2020