Webel, a marketplace app based in Madrid, has secured €2.1 million in venture money. Trind Ventures is the lead investor in this round, which is primarily for growth. ZAKA Ventures, Decelera Ventures, and Tiburon Ventures have also backed the round.
Other well-known business angels, include Hugo Arévalo, the creator of ThePowerMBA and a backer of Playtomic and Glovo, two current and potential unicorns in Spain.
The true challenge, nevertheless, lay in developing an approach that could be both profitable and scalable in addition to tackling the demands of customers. Many other firms that tried before struggled with this, mainly since platform leakage (users avoiding the platform’s interface for subsequent services once they had connected) led to low retention of customers.
Webel’s approach was simple, as its CEO Nacho Tejero explained: “If you want people to place repeat orders through your platform (and pay a commission), the value created for both parties by doing so – such as ease, speed, and comfort – must exceed the economic value (take rate) you are extracting from the transaction. If not, people will logically opt for alternatives off-platform.”
With this approach, they focused on increasing value to their supply while also developing an app that allows consumers to book their services in only five clicks. In order to do this, they created SaaS features (such as a calendar, notifications, and automated invoices) to make it easy for professionals to handle the services they had contracted via the app.
They also introduced a system that evaluates a professional’s repeat business in comparison to that of their colleagues, awarding the most dependable suppliers with greater visibility and decreased commissions.
Webel was founded by Nacho, Carlos, Guillermo, and Javier while they were at university. They abruptly learned that its influence was bigger than they had anticipated: the app gained popular among both clients and professionals after its launch in October 2019.