Youtube asserted that it will acquire India’s video e-commerce platform, Simsim. Although neither of the companies hasn’t disclosed the financial terms of the deal, two people with information revealed that the Indian startup was valued at more than $70 million. There will be no immediate changes to Simsim and the app will continue operating independently. Youtube is intending to work on ways to display Simsim offers to YouTube viewers.
Prior to this announcement, Two-year-old Simsim had raised about $17 million and was valued at $50.1 million in its 2020 Series B financing round.
Through this merger, both the companies will benefit. With people using YouTube every day to compare products, watch reviews and find recommendations from their favorite creators, Simsim is helping small businesses in India transforming to e-commerce via the power of video and creators. This Gurgaon-based start-up app acts as a platform to connect local businesses, influencers, and customers. Creators post video reviews about products from local businesses, and viewers can buy those products directly through the app. Videos are available in three local languages including Hindi, Tamil, and Bengali.
In a joint statement, Simsim co-founders Amit Bagaria, Kunal Suri, and Saurabh Vashishtha said the platform was started to help users across India shop online with ease, enabled through small sellers and brands showcasing and selling their products using the power of content by trusted influencers.
For over 15 years, small businesses have used YouTube to expand their presence online — and many of them use YouTube to reach customers outside of their local community… By bringing Simsim and YouTube together, our goal is to help small businesses and retailers in India reach new customers in an even more powerful way, it added.
“Being a part of the YouTube and Google ecosystem furthers Simsim in its mission. We cannot think of a better ecosystem in which to build Simsim, in terms of technology, reach, creator networks, and culture,” they added.
