Education learning platform, Magic Crate has now raised an undisclosed amount of capital in its third round of institutional funding which is led by the largest Indian investor Fireside Ventures. The current fund raise also saw participation from existing investor that is from, 3One4 Capital.
The startup which is based out of Bangalore, offers a subscription play based program and inquiry for early childhood learning at home. The subscription plan includes a crate consisting of hands-on activities for kids aged between the years gap of 1.5 to 13. The subscription is available for a period of 3 months, 6 months or 12 months and consists of relevant learning material and toys for children.
Three year old Magic Crate is going to use the funding for expansion and also to include new product suites for existing age groups.
“Research shows that about 80% of critical brain development happens before the child turns 8. This has a direct correlation with what they are exposed to, during those years. With this investment round, we are looking at ways to expand the breadth and depth of our product offering to resolve this pain point of engaging the child for working and well-intentioned parents,” said Viswanathan Ramakrishnan, Co-founder and CEO, Magic Crate in a report.
The activities which is offered by Magic Crate are designed by a team of early childhood experts & product designers, to be educational and also entertaining for kids.
“During the early years, the child spends more time at home than at school and yet there are no large consumer brands catering to millennial parents looking to engage their children productively at home. The Magic Crate team is going after a huge white space (and) has built a solid product line and business model that’s allowing them to scale in a very capital efficient way,” said Kannan Sitaram, Venture Partner, Fireside Ventures.
Magic Crate which uses its website to sells a part of capital to opt out for the additional sales of channel is also going to offer offline sales channels in a some of the few quarters. The firm is also looking to invest capital in brand marketing to boost sales.
Now, magic Crate has set a target to ship more than 70000 monthly by the end of March 2019