YouTube acquires Indian video e-commerce platform Simsim

Recently, YouTube announced that it would acquire Indian social commerce company Simsim for more than US$70 million.

Simsim was founded two years ago to help small businesses start digital commerce by introducing local companies to video content creators . The Gurugram-based startup was valued at $50.1 million in its Series B round in 2020.

For YouTube, a Google- owned video site that currently has 450 million monthly active users in India, the acquisition of Simsim will enable the video-sharing platform to help more small Indian companies expand their influence.

Simsim will continue to operate as an independent entity for a period of time .

Gautam Anand, Vice President, Asia Pacific, YouTube, said: “For 15 years, small businesses have used YouTube to grow their online reach – many of which use it to reach customers outside their local area , from interior designers to silk sellers. By bringing Simsim and YouTube together, we can help small businesses and retailers in India reach new customers in an even more powerful way. There will be no immediate changes to Simsim and the app will continue to operate independently while we work on ways to showcase Simsim offers to YouTube viewers .

In a joint statement, Amit Bagaria, Kunal Suri and Saurabh Vashishtha , the three co-founders of Simsim, said : " We founded Simsim with the original intention of promoting small sellers and brands through content creators that users trust, and helping users across India to easily shop online. Now, as a part of the YouTube and Google ecosystem, Simsim will further fulfill its mission to better build the Simsim network ecosystem in terms of technology, influence, creator network and culture . We can't wait to become a part of YouTube and are excited to be a part of one of the most respected technology companies in the world . "

The acquisition is the latest move by Google in India, where it has pledged to invest $10 billion over the next few years to further " generate fast -reaching content in a fragmented market . "

Industry analysts said the move provides a fast track for KOLs and retailers to build relationships. By integrating the market, YouTube provides a more comprehensive solution for e-commerce - it makes it easier for brands to operate and manage in the huge and fragmented Indian market .

Cross-border e-commerce market