To expand its experience centers beyond Jakarta, Dekoruma nets US $15 M in Series C Funding
Dekoruma, an Indonesian online platform that provides home furnishing and interior design services, said today that it has secured US$15 million in its Series C funding round.
Nexter Ventures, backed by Thailand’s SCG Cement-Building Materials, and South Korea’s KTB Network are among the round’s key investors. Existing investors GDN, OCBC NISP Ventura, and Foundamental contributed as well.
It raised an unknown sum in pre-Series C from InterVest Star SEA Growth Fund and current investors over a year ago. Dekoruma is presently in negotiations with investors to contribute further cash to the current round, according to its co-founder and CEO Dimas Harry Priawan.
The new funds will be used to develop its Dekoruma Experience Centre, an O2O concept, outside of Jakarta. According to the firm, the experience center, which opened at the end of 2019, lowers acquisition costs and boosts online transactions in the area.
In order to attract additional designers, the firm will also create new products and services and integrate its project management system (PMS) NOMA.
By the end of 2022, Dekoruma hopes to be present in about eight cities across the archipelago.
“The product and ecosystem that we have built have eliminated inefficiencies that plague the industry. It translates to more affordable products and hyper-transparent services that our customers and partners delight in. We will scale up by expanding our business beyond Jakarta and partnering with more partners and property developers,” said Priawan.
Dekoruma began as a furniture marketplace in 2016 and has now evolved into an ecosystem that connects home furnishing retailers, interior designers, contractors, and property developers. It has also just introduced property brokerage to its B2C offerings.
Dekoruma claims to have serviced over a million clients to date, working with over 5,000 designers and contractors, as well as nearly all tier 1 and tier 2 property developers in Indonesia.
Dekoruma’s revenue has quadrupled, and for the past 18 months, all business divisions have been CM3 (contribution margin 3) positive. The firm intends to be EBITDA-positive by the end of 2022, with a multi-year runway.
“Our focus now is to grow our business and hit EBITDA-positive by the end of 2022. Then, we will gear up for an IPO sometime in the end of 2023,” added Priawan.
Dekoruma claims that almost all of its clients have virtually had talks with interior designers through NOMA since the COVID-19 epidemic struck at the beginning of last year. In Indonesia, the home and living business is worth around $10 billion.
People in the archipelago are still on lockdown and remain at home, as they are in other areas of the world. As a result, there has been a considerable increase in the demand for housing and living.
Priawan said Dekoruma is becoming the third-largest company in Indonesia after Informa (Kawan Lama Group) and IKEA. “We expect the demand to go up further both in the residential and commercial sectors since most offices, F&B outlets, and hotels will eventually have to focus on creating safe and pandemic-free spaces”.
