India’s appetite for easy convenience – once limited to food and grocery delivery – is expanding to domestic staff. This change helped A quick pieceThe on-demand home care startup raised $30 million in recent financing and raised its valuation to $180 million, up from $80 million five months ago.
The all-equity Series C round – Snabbit’s third fundraising in nine months – was led by Bertelsmann India Investments with participation from existing backers Lightspeed, Elevation Capital and Nexus Venture Partners. The latest infusion brings the startup’s total funding to $55 million.
Snabbit’s recent funding comes after a surge in activity, with the Bengaluru-based startup growing from about 1,000 jobs a day in May to greater than 10,000 bookings a day. The company surpassed 300,000 orders in October, founder and CEO Aayush Agarwal said in an interview with TechCrunch.
Founded in 2024, Snabbit offers a range of on-demand home services to urban households, including cleansing, dishwashing, laundry and kitchen preparation, through a 100% women-owned fleet of 5,000 experts. The startup operates through a hyperlocal network of trained employees stationed around dense residential areas, providing service inside 10 minutes.
Currently, Snabbit operates 40 micro markets across five major cities, namely Mumbai, Bengaluru, Gurugram, Noida and Pune. Agarwal told TechCrunch that it plans to expand its presence in these cities and soon enter Hyderabad, Chennai, Delhi and Kolkata.
Snabbit has served greater than 300,000 customers, up from 25,000 in May, and expects to add one other 100,000 as soon as next month. Most users are between the ages of 30 and 40, including bachelors and working professionals.
Some of Snabbit’s clients are those that do not want a full-time home help but prefer an ad hoc solution. “We’re basically taking the inefficiencies of the model and plugging it in, rather than saying, ‘Hey, this was happening offline, and now we’re going to do it online,’” Agarwal said.
The startup reports a 30-35% retention rate and plans to hit $11 million in annual recurring revenue this month. What’s more, the customer acquisition cost is “well under” 500 kilos (about $6), Agarwal told TechCrunch.
Snabbit services cost around £150 (about $2) per hour, with the average ticket size being around £240 (about $3).
Platform staff earn between £25,000 and £30,000 (about $284-$340) per 30 days, depending on their hours of labor. The startup also shortened the average distance employees walk between two workstations from 300 to 250 meters, giving them more time to serve customers.
Snabbit is not alone in the race to offer fast, on-demand home services in India. This trend was pioneered by Urban Company, which was later followed by startups akin to Broome and Pronto. Urban Company plans to do just that now double the price of easy home services stay ahead of growing competition, although Snabbit says it doesn’t see this as a challenge.
“In hyperlocal business, you do not win the whole of India, you do not win cities, you win micro markets. And today, apart from micro markets, where each [Snabbit and Urban Company] are present, Snabbit is leading in more micro markets because we have adopted a very positive strategy of building depth quite than expanding reach,” Agarwal said.
The recent funding will help Snabbit strengthen its presence and expand into high-frequency categories akin to cooking, childcare and eldercare.