ShopZetu, an emerging fashion e-commerce company based in Kenya, has successfully closed a $1 million pre-seed fundraising round, paving the way for its regional expansion plans. The startup aims to trial regional delivery services in Rwanda, Tanzania, and Uganda before venturing beyond Kenya, where it launched in 2021.

The funding round was led by Chui Ventures and attracted investments from prominent backers, including Launch Africa, Roselake Ventures, and Logos Ventures. Notable angel investors involved in the round include Kendall Tang, CEO of RT Knits; Ben Munoz, co-founder and CEO of Nadine West; Sumit Bhasin from Estee Lauder Inc; Patricia Ithau, CEO of WPP Scangroup; and Peter Njonjo, co-founder and CEO of Twiga Foods.

To cater to the evolving needs of Africa's fashion-conscious women, ShopZetu intends to expand its product portfolio to include beauty and home décor categories. Over the next few months, the company plans to scale regionally and increase its roster of sellers on the platform to 1,000, while also seeking partnerships with global fashion companies. By broadening its services to encompass beauty, skincare, hair, and home décor, ShopZetu aims to position itself as the leading lifestyle portal that reflects the diverse identities of its customers.

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Marvin Kiragu, CEO of ShopZetu and co-founder along with Wandia Gichuru, co-founder of renowned Kenyan fashion brand Vivo, envisions the platform as a one-stop shop. He highlights the motivation behind creating ShopZetu: the need for a multi-brand marketplace to address the fragmented nature of the fashion industry, characterized by numerous local and online sellers operating across platforms such as Instagram, Facebook, and WhatsApp. Kiragu notes the challenges of transparency and customer trust that arise due to the vast number of stock-keeping units and the absence of a centralized physical location.

Currently, ShopZetu hosts around 300 sellers, ranging from local artisans to importers of fashion products, offering over 20,000 products on its marketplace. While vendor onboarding is free, sellers are required to pay a commission on platform sales and additional charges for services like shipping. ShopZetu also provides subsidized services such as content creation, digital marketing, warehousing, last-mile delivery, and returns management, aiming to support vendor success in the online space.

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Kiragu emphasizes ShopZetu's commitment to reducing barriers for aspiring fashion brands by leveraging the platform's reach and resources. The startup has witnessed success stories of brands that were incubated and launched on its platform before expanding online and establishing physical stores. With over 30,000 users served and more than 100,000 products sold in the past two years, ShopZetu has experienced a 400% surge in monthly orders since January 2021.

While the fashion industry in Sub-Saharan Africa is predominantly dominated by used apparel, startups like ShopZetu are capitalizing on the growing demand for affordable new clothing options among Africa's fashion-conscious and tech-savvy population. By leveraging technology and catering to the diverse needs of consumers, ShopZetu aims to tap into the expanding fashion market in the region.