The Bengaluru-based online classifieds marketplace and hyperlocal service provider Quikr has worked to cut down their losses, and they have managed to bring them down to INR 230.04 Cr in the year 2019 as compared to INR 237.43 Cr last year. The online marketplace service provider also registered a 74.6% hike in revenue.
In FY19, Quikr generated INR 191.22 Cr versus INR 109.5 Cr in the previous year. In this financial year, Quikr has spent INR 436.83 Cr as compared to INR 375.95 Cr last year. The company noted a rise of 16% in the expenses because of all the work. The market has been facing a slump and despite which Quikr generated INR 85.15 Cr in 2019 from marketing and management service fees from its home rental products. They make INR 50.1 Cr from paid advertising revenue, INR 49.54 Cr from commissions, INR 39.2 Cr from the lead referral, and INR 24.48 Cr from on-demand beauty services “AtHomeDiva.”
The end of “AtHomeDiva”
Recently, Quikr decided to shut their AtHomeDiva service as it was not proving to be a viable source in terms of return of investments (ROI). Along with this, they also downsized by laying off 30% of its workforce of 3000 across different areas, which means 900 employees lost their jobs.
These mass layoffs and end of a venture came after three employees from Quikr decided to pull a scam and forged business transactions to earn a commission. The company lost almost INR 15-20 Cr because of the fraud.