Snappy Shopper raises seven-figure investment to fund growth

Leading home delivery provider Snappy Shopper on Tuesday said it has raised a seven-figure sum from existing investors – Highland Technology, Kelvin Capital and Scottish Enterprise – to fuel growth ambitions.

The investment round, which was led by major investor Highland Technology, will be used to continue to invest in the company’s growth and core technology platform in pursuit of Snappy Shopper’s mission to enable local retailers to serve customers online with a local home delivery service.

Snappy Shopper has achieved triple digit average annual revenue growth since its inception and strong growth has continued post pandemic.

The business intends to capitalise on the slowdown of the dark store operating model and capture consumer demand by enabling existing local convenience stores to offer a profitable quick commerce service using the platform’s leading technology.

Snappy Shopper, which has been focused on the UK convenience sector, also plans to expand to other high street retailers as well as internationally, having already made strides here via its proposition for hospitality, branded Hungrrr.

“Snappy Shopper’s business model sets them apart from their rivals who rely on expensive site leases and fit outs, holding of inventory and logistics processes, to compete with convenience store retailers. Instead, Snappy partners with thousands of small business owners who have been serving their communities for years, if not generations, and enable them to not only serve their customers better but grow their own businesses,” Niall Santamaria, chief investment officer at Highland Technology, commented.

“I have been really impressed with how Snappy have continued to grow the number of retailers they support and customer orders they process, with sector leading KPIs on retention and basket size, through their collaborative approach with the retailers. With an exceptional senior leadership and broader team now in place, we expect them to continue their impressive growth trajectory across the UK and into Europe, and I look forward to working with Mike and team on this journey.”

Kerry Sharp, Director of entrepreneurship and investment at Scottish Enterprise, added: “Snappy Shopper has become an established name in communities across Scotland, and is an excellent example of how e-commerce can work in partnership with local retailers to the benefit of customers.

“Scottish Enterprise was pleased to participate in Snappy Shopper’s latest investment round, which will further enhance the company’s innovative technology platform.  We look forward to continuing our partnership with Snappy Shopper as it delivers potential growth opportunities and increased services to consumers.”

Snappy Shopper has reached numerous milestones this year with 50 million products sold and more than five million orders placed through the platform with continued record-breaking order volumes. Alongside this, the business has spearheaded a campaign of cost-of-living initiatives that enable convenience stores to offer value for money and stay relevant at a time when retail businesses must have a successful ecommerce strategy.

Mike Callachan, Snappy Shopper chief executive, said: “This round of investment signals the next chapter for Snappy Shopper. Following another record-breaking year, we have continued to onboard new stores at pace and deliver record numbers of orders. Our capital light model uniquely places us to grow in a challenging business environment as consumers continue to value convenience and local businesses. We are excited about the path ahead and grateful to have such supportive investors with us on the journey.”