Online automobile transactional marketplace, Droom recently released its annual progress report for calendar year 2016. The report compared the key business metrics from 2016 with the corresponding data from 2015 the company has achieved over the past one year. The company significantly outperformed all industry benchmark growth numbers, for example, new vehicles grew 9% Y/Y and used vehicles grew 15% Y/Y and Droom outperformed the overall market by 66 times for new vehicles and 40 times for used vehicles. At the same time, the country’s e-Commerce sector grew by 40% Y/Y in 2016 and Droom grew 15 times faster than the overall e-Commerce industry at the same time. The company also raised one of India’s largest Series B investment in June 2016, a testimony to the trust bestowed upon it by its investors.
Commenting on the performance, Sandeep Aggarwal, Founder & CEO, Droom, said, “In a year that saw several ups and downs, Droom’s continued growth on an exponential curve is fascinating to say the least. Reporting a growth rate 15 times higher than that managed by the overall e-commerce industry and raising a landmark Series B investment from renowned investors such as Lightbox, BEENEXT and Digital Garage is a testament of how robust the company fundamentally is. We aim to build upon this strong showing and continue driving massive growth for our platform through our value-driven, consumer-centric offerings.”
The success earned by Droom was largely thanks to the significant growth in key business metrics. Orders placed through the platform grew by 507%, from 8,232 units in 2015 to 49,974 units by the end of 2016. The transacted GMV on the platform also grew by 533%, soaring from INR 155 crore in 2015 to INR 1,000 crore in 2016. The overall traffic on Droom also grew by 307% year-on-year, increasing from 12.5 million page visits in 2015 to almost 51 million in 2016, which makes Droom the third largest Facebook community in the e-commerce industry. This extensive consumer reach corresponded with a rapid increase in its active seller base, which went up from 2,038 in 2015 to 15,619 in 2016, registering a growth of 666%. Platform leads through Droom Assist also increased from 1,152 to 102,235 – a remarkable growth of almost 9000%.
Droom also launched the unique applications in 2016 such as Orange Book Value in 2016, which again has been quite popular amongst consumers and has generated more than 94 million pricing queries and about 4 million in traffic till date. Droom History is an unbiased report providing overall information about a vehicle’s background and ECO inspection, which is one of India's most advanced and objective auto inspection and verification service provider.
Given the rate at which it is growing, Droom is expected to touch net annual revenues to the tune of INR 60-75 crore by March 2017 with an annualised GMV in the range of INR 2,500-3,000 crore. The company is targeting annualised GMV of INR 4500-5000 crore and net annual revenues of INR 125-150 crore by December 2017, as it ramps up its operations to firmly consolidate its position as one of the best brands in the Indian online automobile market space.