Vaaree raises $4.6 million to expand AI-powered home decor platform

Vaaree, a curated online marketplace for home and soft furnishings, has raised $4.6 million in a funding round led by Peer Capital, with continued participation from Surge—the startup accelerator programme run by Peak XV Partners—alongside All India Capital, Sattva Ventures, and the Asian Paints family office.

The investment marks Vaaree’s second major fundraise in less than a year. In November 2024, the company secured \$4 million in seed funding from Surge.

Founded in 2022 by Garima Luthra, Pranav Arora, and Varun Vohra, Vaaree connects consumers to export-oriented factories across India through a platform offering nearly 80,000 products in 150 categories. Its catalogue spans kitchenware, bedding, bath accessories, garden décor, and more—catering to diverse aesthetic preferences, including Bohemian and Art Deco styles.

The company plans to deploy the new capital to bolster its proprietary artificial intelligence-driven styling app, VibeCheck, aimed at offering personalized decor recommendations. Vaaree will also expand its fulfilment and brand verification (FABV) network to enable next-day deliveries in more cities.

“We’re building for the Indian home with speed, soul, and smarts,” Luthra said in a statement. “This fresh capital will be used in technology, operations, and brand expansion. We are also launching AI-powered styling with VibeCheck, enabling next-day deliveries through our FABV network, and deepening our brand presence across the country in metro and tier-2 cities.”

Peer Capital’s continued backing underscores growing investor interest in the fast-digitizing $15 billion Indian home decor and furnishings market.

“We’ve backed Vaaree from the very first cheque because they’re not just building a home brand, they’re building the rails for how India will shop for home in the future,” said Ankur Pahwa, partner at Peer Capital.

By sourcing directly from factories and bypassing traditional retail supply chains, Vaaree positions itself as a tech-first, consumer-trusted alternative in a market long dominated by fragmented, offline sellers.

With the latest infusion of funds, the company said it will intensify efforts to scale its logistics and vendor infrastructure across India’s urban and semi-urban regions, seeking to bring speed and reliability to a segment often challenged by delays and product inconsistency.