In a significant shake-up, Dunzo, the prominent quick-commerce platform, has laid off 150 employees, accounting for 30% of its workforce. This move comes on the heels of securing $75 million in its latest funding round.
The investment was led by Reliance Retail Ventures, with contributions from existing investors Lightbox, Lightrock, 3L Capital, and Alteria Capital.
Kabeer Biswas, Founder and CEO of Dunzo, addressed employees in a recent town hall meeting to announce the layoffs. This decision is part of a broader strategy to enhance operational efficiency and realign team structures with the company’s goals.
Earlier this year, Dunzo had already implemented a 3% workforce reduction as part of cost-cutting measures. Additionally, the company will be closing 50% of its dark stores and will shift its focus towards partnerships with supermarkets and local merchants.
The newly raised funds will support the instant delivery of essentials through a network of micro warehouses and expand Dunzo’s B2B business vertical to offer logistics solutions for local merchants.
This round of funding follows a previous $240 million raise in January 2022, aimed at expanding Dunzo’s footprint across India. As the company navigates these changes, it seeks to improve efficiency and maintain its growth momentum in the competitive quick-commerce sector.