Doodhwala, a milk delivery startup, has called off its delivery operations across three operational cities including Bengaluru, Hyderabad, and Pune, reported Mint.
Ebrahim Akbari, CEO at Doodhwala, said that its bigger rival Freshtohome will now take over their delivery operations. Freshtohome has raised over $30 million till date from multiple investors, and currently operates in 8 cities in India, and in the Middle East.
Doodhwala, which is owned and operated by Banger Tech Pvt. Ltd., had last raised $2.2 million last February from impact investor Omnivore Partners.
“We will be discontinuing our services due to unforeseen circumstances. However…we’ll make sure your daily essentials still reach your doorstep, thanks to FTH (FreshToHome) Daily,” Akbari said.
Shan Kadavil, chief executive at Freshtohome, said that the company has not acquired Doodhwala, instead they have just provided a migration path for their customers since they were having some challenges with the business.
Doodhwala was founded in 2015 by Aakash Agarwal and Ebrahim Akbari as a subscription-based grocery delivery service, which mainly depended on early morning milk delivers as a method to hook in repeat customers. It offered categories such as baked items, meat, fruits & vegetables, staples, personal care products, among others.
Other similar startups in the industry include Milkbasket, Dailyinja, Bigbasket and many more.