Hyperlocal discovery platform magicpin has raised $7 million in Series B round of funding from Lightspeed India Partners, Waterbridge Ventures, and two global family offices. Srivatsan Rajan, chairman, Bain & Co India and Sahil Barua, CEO of Delhivery have also invested in the company in their individual capacity. The funds raised will be used to enhance the product, strengthen the leadership team and to go deeper and wider across categories and geographies, as per the company’s release.

In February last year, the company had raised $3million from Lightspeed India Partners. It is currently active in Delhi-NCR, Mumbai and Bangalore and claims to have grown 7x times in the last year to reach $40million in annual business. It has more than a million users with more than 5 million shared experiences with average daily sessions of more than 30 minutes.

magicpin uses a user’s location to drive discovery and commerce for local experiences. Its user community, known as ‘magicians’ share their experiences across food, beauty and fashion categories in the form of picture stories. Users get rewarded with ‘magicpin points’ that can be used to buy more services and experiences at magicpin partner merchants.

Competition

Magicpin’s discovery model is similar to Crown it, which raised an undisclosed amount from FreeCharge founders Kunal Shah and Sandeep Tandon, Freshdesk founder Girish Mathrubootham and ex-Snapdeal CPO Anand Chandrasekaran In September last year. In May 2015, it raised $5.5 million from Accel and Helion Venture Partners.

The app lets users discover restaurants and outlets which offer cashback schemes while shopping on-  its platform. Users can click on the picture of the bill to redeem their cashback.
The company also competes with:

–  Nearbuy – which had raised $2 million venture debt from Blacksoil Capital
– Little which acquired Stylofile in January this year
– Times Internet owned CouponDunia.