DealShare Cofounders Vineet Rao And Sankar Bora Step Down Post: Report

DealShare, an Indian ecommerce platform, is undergoing significant leadership changes. Co-founders Vineet Rao and Sankar Bora have reportedly stepped down from their roles. Rao, who was the Chief Executive Officer, resigned in July and was expected to assist in finding his successor.

However, he has now officially left the company. Bora, the former Chief Operating Officer, has also departed, according to an ET report. The company is yet to announce replacements for these key positions.

Company restructuring and layoffs

DealShare has recently undergone a series of layoffs and business restructuring. Earlier this year, the company decided to shut down its business-to-business (B2B) operations, leading to the dismissal of over 100 staff members.

The move was part of a strategic shift to focus on business-to-consumer (B2C) operations in select markets like Jaipur, Delhi NCR, Lucknow, and Kolkata. The company is also relocating its non-tech functions to Gurugram.

Financial performance of DealShare

Despite the leadership upheaval, DealShare has shown significant growth in its revenue. The company's revenue from operations grew more than 8 times to Rs 1,932.8 crore in the financial year 2021-22 (FY22), up from Rs 236.7 crore in FY21.

However, this growth came with increased losses, which widened by 543% to Rs 431.1 crore in FY22 from Rs 67 crore in FY21.

DealShare's market position 

Founded in September 2018, DealShare caters primarily to first-time internet users. The startup is known for its group-buying model, offering discounts on large purchases, primarily targeting Tier II and Tier III customers. The company's customer base includes a significant proportion of small Kirana stores.

The departure of Rao and Bora comes as DealShare pivots to a hybrid online and offline operations model. Reportedly, the changes are part of its efforts to navigate the competitive Indian ecommerce landscape and reshape its strategy to maintain relevance and profitability in the market.

Earlier in September 2023, It decided to cease its business-to-business (B2B) operations to concentrate solely on its business-to-consumer (B2C) services.