In a significant move to modernize India’s home services sector, Snabbit, a Mumbai-based startup, has secured $19 million in a Series B funding round led by Lightspeed. This investment, which also saw participation from existing backers Elevation Capital and Nexus Venture Partners, values the 15-month-old company at $80 million post-money. The fresh capital is earmarked for expanding Snabbit’s rapid-response home services across additional Indian cities.
Addressing a Persistent Challenge
Traditionally, Indian households have relied on informal networks to manage domestic tasks such as cleaning, dishwashing, and laundry. This system often leads to inconsistencies in service quality and availability, causing frustration for consumers and job insecurity for workers. Recognizing this gap, Snabbit was founded in early 2024 by Aayush Agarwal, a former Chief of Staff at Zepto, with the mission to bring structure and reliability to the home services market.
Agarwal’s personal experiences underscored the need for such a platform. He recounted instances where finding dependable domestic help was so challenging that his mother had to travel from Kolkata to assist him in Mumbai. This highlighted the stark contrast between the convenience offered by on-demand services in sectors like transportation and food delivery, and the cumbersome process of securing home services.
Innovative Service Model
Snabbit differentiates itself by offering a suite of high-frequency home services—including cleaning, dishwashing, laundry, and kitchen assistance—that can be booked via its app with service delivery as swift as 10 minutes. This rapid response is facilitated by a comprehensive approach to workforce management. The company meticulously sources, screens, trains, and manages its service providers, referred to as experts. To ensure prompt service, these experts are strategically located near high-demand areas.
The platform operates on a time-based pricing model, charging customers an hourly fee. This structure offers flexibility and transparency, allowing users to tailor services to their specific needs. For the service providers, Snabbit guarantees a minimum income, with opportunities for additional earnings based on performance metrics such as attendance, customer ratings, and completion of service milestones.
Market Expansion and Competition
Initially, Snabbit focused its operations within a single micro-market in Mumbai, dedicating the first year to refining its service model and understanding customer needs. Following this period, the company expanded to seven additional markets in Mumbai and one in Bengaluru. The recent infusion of funds is set to accelerate this growth trajectory, enabling Snabbit to establish a presence in more Indian cities.
The home services sector in India is witnessing increased interest from various players. Established companies like Urban Company have introduced similar rapid-service offerings, though not without challenges. Urban Company’s initial launch of Insta Maids, later rebranded to Insta Help, faced criticism and resistance from gig worker unions. Newer entrants such as Broomees and Pronto are also vying for a share of this burgeoning market.
Investor Confidence and Future Outlook
Lightspeed’s decision to lead Snabbit’s Series B round underscores the growing confidence in the startup’s potential to revolutionize the home services industry in India. The investment reflects a broader trend of leveraging technology to bring efficiency and reliability to traditionally unorganized sectors.
With the additional capital, Snabbit plans to enhance its technological infrastructure, expand its service offerings, and strengthen its workforce training programs. The company’s commitment to quality and speed positions it as a formidable player in the evolving landscape of on-demand home services in India.
