Delivery startup Dunzo has doubled its annual active user base from 2.7 in 2019 to 5.1 million in 2020, due to a surge in popularity during the COVID-19 pandemic.
Gross transaction values for the app more than doubled from 2019 to 2020, up 105 percent, The Times of India reported.
User retention in October-December quarter of 2020 grew 14 percent as against the corresponding quarter in 2019, the report added.
Users who started using the app in 2016, spent almost 2.82 times more in 2020, compared with when they first started using the platform.
During the pandemic, Dunzo became a convenient option for sending parcels and buying essentials since people stayed indoors.
Kabeer Biswas, co-founder of Dunzo, told The Times of India that 2020 was the year the app went from niche to mass. He said company-wide profitability is two years away.
"Our biggest cities are already profitable; we have already broken even there. For this year, we want to drive operating leverage in our top cities," he told the publication.
"We want to capture a $100 million market in each of our city, and for this we need to scale our biggest cities to 3x- 4x," Biswas said.
The company, which is currently present in eight cities, plans to enter two new cities in 2021, the report said. Dunzo is also preparing for a new category launch in April.
"We will go through a massive shift at Dunzo this year, that makes us an everyday essential for a much larger audience than before; more about that (later) in March," Biswas said.
