VC firms expressed interest investing in more astro, spiritual tech startups this festive season
Despite the funding crisis, astro and spiritual tech startups may find luck in the coming holiday season as more venture capital firms have expressed interest in investing in the sector.
One of AstroTalk’s competitors, the virtual astrology and spiritual platform Vama, is reportedly finalizing a $1.5-2 million round as well.
“A global VC is leading a new round in Vama while existing investors are doubling down,” said a person aware of the development.
Vama offers convenient access to e-pujas, e-darshans, and astrology services to devotees. It was founded by Manu Jain, Himanshu Semwal, and Acharya Dev in late 2020.
The startup closed its $1.25 million seed round in December 2022 with a top-up of $500,000. Early backers of Vama include Supermorpheus, 7Square Ventures, Varun Alagh, and Kunal Shah, who also invested in AstroTalk through his fund Qed Innovation Labs. As potential rivals in the market, MyPandit, Bodhi, and InstaAstro have emerged.
More early-stage startups in devotional and astro are reportedly looking to raise their growth round during the holiday season. Another source who wished to remain anonymous added, “InstaAstro and Bodhi are also looking to raise money”.
According to a source, the devotional app DevDarshan has also raised capital in the range of $700,00-$800,000 in a new round. This app allows devotees to perform daily darshan, pujas, and digital donations in temples online. Investors including All in Capital, Veda, and Titan Capital took part in the latest round, the source said. In May 2021, this startup with a base in Noida raised seed money.
Utsav App, a rival of DevDarshan, recently raised seed capital in a round that was co-founded by India Quotient. Additionally operating in this area are Sutradhar, 27 Mantra, and AppsForBharat. AppsForBharat has already received $14 million in funding from Peak XV Partners.
Sending inquiries to Vama, DevDarshan, InstaAstro, and Bodhi did not immediately elicit a response.
According to a report by Expert Market Research, the Indian religious and spiritual market had a value of $44 billion in 2020 and is expected to grow at a CAGR of 10% between 2023 and 2028.
This is not at all surprising given the nation’s culture, which is frequently referred to as the “land of faith and spirituality.” All throughout the year, millions of people visit various pilgrimage sites in the nation.
To put things in perspective, the size of the faith-based tourism market in India is projected to be over $1 billion in 2023 and is expected to increase at a CAGR of 16.2% over the next few years. According to the Indian tourism ministry, religious tourism destinations made Rs 1,34,543 crore in 2022, up from Rs 65,070 crore in 2021.
The millennial generation and a demographic that eventually migrated to digital and smartphones are the targets of the new-age startups. For instance, AstroTalk has enlisted the help of famous people to promote its services, including Ranbir Kapoor, Shraddha Kapoor, Mouni Roy, Bharti Singh, and Virender Sehwag. The platform enables chat and communication with an astrologer.