Bengaluru-based digital media video startup Clip has raised an undisclosed amount of funding in a series A round led by Matrix Partners India. Clip did not disclose the size of funding but a person aware of the funding said it raised $6 million.
The funding round also saw participation from existing investors Shunwei Capital and India Quotient, who invested $1 million in a seed round in the video-sharing platform
The startup, which aims to monetize Clip App by using video ads by the end of 2018, will use the funds to hire people and improve its technology platform.
Founded in March 2017 by Nav Agarwal, Clip App is presently growing organically, as the company is focusing on enhancing the product and building upon its features before aggressively marketing Clip App.
The app is available in Hindi, Gujarati, Marathi, Bengali, Tamil, Telugu, Kannada, Urdu, Malayalam, Punjabi and English.
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In his earlier statement, Agarwal said that the app specifically caters to tier-II and III users, who would not relate to the English video content seen on Facebook, Instagram or Snapchat, and focuses on Hindi speaking users. The availability of cheaper data and smartphones make it feasible to compete with big players in this segment.
Once a user uploads a video, Clip employs machine-learning algorithms to connect users with others sharing similar content on the platform. The app currently has over 3 million installs on Play Store. It also has a chat feature to enable users to have in-app conversations.
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“In India there are more than 200 million consumers on the internet who are non-English speakers. Clip’s main target are these vernacular users. But we are targeting the market not only with a social-sharing feature, but also using a video-creation angle. Unlike other vernacular platforms, we are providing tools to create and edit videos within the app itself,” said Agrawal.
Apart from global players including Facebook, Instagram, and Snapchat, Indian startups active in this segment are Vebbler, Galleri5, Shoto, to name a few.
The report was first published in Mint.
