Apna Mart Moves Base To Gurugram, Lays Off 10% Workforce
Peak XV-backed startup Apna Mart has announced a strategic restructuring, relocating its product and technology teams from Bengaluru to Gurugram. This move has led to the layoff of approximately 10% of its workforce, affecting 35 to 40 employees. The layoffs are attributed to roles becoming redundant due to AI adoption and the logistical challenges posed by the relocation.
### Apna Mart’s Business Model and Market Position
Founded in 2022 by Abhishek Singh and Chetan Garg, Apna Mart operates a quick commerce platform that caters primarily to non-metro cities. Unlike its competitors such as Blinkit, Swiggy Instamart, and Zepto, which focus on urban areas through dark store models, Apna Mart leverages a franchise-led approach. The company delivers groceries and daily essentials within 10 to 15 minutes through a network of franchise outlets. Operating in 14 cities across Jharkhand, Chhattisgarh, and West Bengal, Apna Mart targets underpenetrated markets with an omnichannel model akin to Reliance Retail’s JioMart.
### Competitive Landscape and Funding Environment
In a competitive quick commerce sector, Apna Mart faces stiff competition from established players. However, its focus on non-metro markets allows it to carve out a niche. The startup has attracted significant investment, raising approximately ₹214 crore in a mix of equity and debt in a round led by the Nandan Nilekani-backed Fundamentum Partnership Fund. To date, Apna Mart has secured around $40 million in funding, with Accel, Sparrow Capital, and Alteria Capital also among its investors. Despite this financial backing, the company reported a net loss of ₹75.8 crore in FY25 against a revenue of ₹190 crore, highlighting the ongoing challenges in achieving profitability.
### Implications for India’s Startup Ecosystem
Apna Mart’s decision to relocate and restructure amid AI-driven automation reflects broader trends in the Indian startup ecosystem. The move parallels similar actions by other companies, such as Freshworks and SuperOps, which have also announced layoffs due to AI-led changes. This wave of restructuring underscores the impact of technological advancements on employment and operational strategies within startups. As companies increasingly adopt AI to streamline processes, roles traditionally held by human employees are being reevaluated, leading to workforce reductions.
The relocation to Gurugram positions Apna Mart closer to the NCR’s vibrant startup scene, potentially facilitating better access to talent and resources. However, the shift also highlights the logistical and human resource challenges that startups face when consolidating operations or relocating.
### What to Watch Next
As Apna Mart settles into its new base in Gurugram, it will be crucial for investors and industry watchers to monitor how the company adapts to its restructured operations and the competitive pressures in the quick commerce sector. For founders and engineers, Apna Mart’s move underscores the importance of flexibility and readiness to adapt to technological shifts that can redefine roles and business models. Watching how Apna Mart leverages its franchise approach and AI integration in non-metro markets will provide valuable insights into the evolving dynamics of India’s quick commerce landscape.
