Scapia, a travel credit card startup, has raised $23 million in a Series A funding round led by Elevation Capital alongside Binny Bansal’s 3STATE Ventures. The round also saw participation from Matrix Partners India and Tanglin Venture Partners.
What is the purpose of fundraising?
According to Anil Goteti, Scapia intends to deploy the raised capital to swell the customer base and enrich its product offerings, including adding personal loans and travel insurance by the next year.
With an existing partnership with Federal Bank for credit cards, Scapia is looking to onboard more banking partners. Additionally, it aims to broaden its talent pool, particularly in product and technology development.
Growing demand and coverage
Since its discreet inception last year and official launch on June 15, Scapia claims to have witnessed significant demand from metropolitan and Tier-I cities, as well as increasing interest from more remote areas.
What does Scapia do?
Scapia, which competes with fintech firms like Niyo, OneCard, and Uni, offers a co-branded credit card with zero joining and annual fees. It also features a zero-forex markup and unlimited domestic lounge access for users meeting the minimum monthly expenditure. The card rewards users with ‘Scapia coins’ that can be used for booking hotels and flights.
Scapia's swift traction in the market, with its cards already distributed in over 7,500 pin codes and its app facilitating travel in over 50 countries, is a clear indication of the company's promising trajectory in the travel fintech sector.
The startup aims to make travel more accessible and enjoyable for Indians and has resonated with both customers and investors, setting the stage for its next growth phase.