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Photosharing And Printing Site Picsquare Received $75,000 From Angel Investors

By Nikhil Pahwa - Thu 16 Nov 2006 08:14 PM PST

I think we missed this one earlier - Businessworld (subscription required) reports that Bangalore based Picsquare, started by two IIT Bombay graduates Manish Agarwal and Karthik Jain received $0.75 million $75,000 in total (Update: BW got the figures wrong) in August 2006 from three Angel Investors - Sanjay Swami, CEO of mChq, Shripati Acharya, founder of Snapfish and Vijay Iyer, VP (Marketing), Portal Systems.
Picsquare allows uploaded digital photos to be printed and delivered anywhere in India. They can also be used to create gift items like calendars, coffee mugs and T-shirts. According to the report, around 70 per cent of the photos uploaded at Picsquare have been printed, which either means that there aren’t many people uploading photos at Picsquare, or that people are uploading primarily for printing. Earlier this year, talks between Picsquare and a Hoosier investor group had broken down. With eYaadein, RangeelaPhotos, MeraSnap, PhotoMasti, 123shots and maybe more- it certainly is a crowded marketplace.

According to CIOL, $25,000 of the $75,000 that PicSquare received was from angel investors under TiE’s Entrepreneurship Acceleration Program (EAP) initiative. The others to receive funding under this program include Redbus, Salesguru and Experience Commcerce.
Update: Manish Agarwal, co-founder Picsquare has clarified the numbers (changes made above). He adds: “The money will be used for building product and marketing. The marketing strategy here is to continuously acquire customers, build a brand for Picsquare, calculate customer acquisition cost and understand the response rate of different marketing activities. This shall enable us to deploy the marketing money with good return on investment in the next round.”

Related:
- Picsquare Rejects VCs From Indianapolis
- RedBus: A Travel Portal For Bus Travellers!

Posted in: Portals, Venture Capital



Related Research from Alacrastore.com
12 Responses:
  • From Dogbert Thu 16 Nov 2006 11:07 PM

    I have some experience in using these sites. So far http://www.itasveer.com has provided the best combination of value and customer service.

  • From rajesh Fri 17 Nov 2006 12:15 AM

    Nikhil- the big opportunity is in printing marketing collateral and taking business away from traditional offset format. This is what some of the largest companies in the MFD segment etc. are concentrating on.

    With SMEs getting confident to take on their larger competitors, quality of communication and collateral acts as is a great leveler and that’s where digital printing comes in - cutting edge output, no compulsion of high numbers.

  • From ankita Fri 17 Nov 2006 12:24 AM

    Nikhl,I just happened to read your review on Picsquare. I certainly have reservations for the same.

    You have mentioned about the figures i.e. 70% of the photos that have been uploaded on Picsquare. I believe you have gained this information from the ‘report’ i.e a secong hand information?. Well, I am not aware of your engagement with the market scenario or trends that concern organisations like Picsquare and therefore I feel you have been extremely unfair with your judgement. I believe a 70% is considered much above industry standards and thus your statement, “which either means thats there are’nt many people uploading photos at Picsquare or that people are uploading primarily for printing,” stands unjustifiable. I am sorry to say that you have been extremely surfacial with your comments here.

  • From Nikhil Fri 17 Nov 2006 01:16 AM

    Ankita: The 70% figure was quoted in BW and therefore, as indicated in the post itself, it is second hand information; I cannot corroborate it and its up to Picsquare to do that. How does one explain such a high percentage? These are the two alternative that came to my mind. Surficial though my comments may seem, I thought this might start a discussion on how such a figure can be reached. Fair or unfair though I may seem, you have right to your opinion.
    I’d also like to point out that this is *not* a review of Picsquare - reviews are and should be more comprehensive.

    Rajesh: I actually see opportunity in involving the offline print studios and also utilizing them for delivery. If they’re connected, the printing and delivery can be within a day. Only thing is, for them, it’s more about bulk orders. So, I think once there is traction, another business model will be int he offing, and the speed of service will be important. more on this later...am in bit of a rush. And, as the lady pointed out, my comments are surficial, and those of an observer, not a researcher.

  • From ankita Fri 17 Nov 2006 02:32 AM

    Well, am sure Picsquare would’nt hesitate to explain the high percentage, provided you keep a track on their activities as an ‘observer’ and then comment like a ‘researcher.’

  • From Manish Agrawal Fri 17 Nov 2006 09:24 AM

    Hi Guys,

    Thanks for comments.

    Personally, I don’t completely agree that comments on open platforms like ContentSutra should always be a result of research. That takes away the beauty of openness. The idea is to create a forum where people can openly put forward their views and there is always an opportunity to respond back.

    Why the numbers are so high, in my opinion, good indicator that there is need in the market. People are sure that they want to print as oppose to they have uploaded some photos and now they are not sure what to do. It will be good to hear what other companies in the same market have to say about this high number or what their experience with the market is.

    Manish

  • From bala Sat 18 Nov 2006 08:06 PM

    people who wants to upload photos for sharing online either upload to flickr, yahoo, snapfish or some other fast services...people who upload photos at picsquare are mainly for printing purpose(mostly nris)....and 70% is reasonable after taking out bad photos etc.

  • From ankit Tue 21 Nov 2006 02:10 PM

    Well Guys, Its great That lots of people are saying it Flickr of India, but its their mistake, concept is totally different
    1) Flickr - Only For Sharing while PS is mainly concentrated on printing and delivery
    2) Flickr’s interface, design and usability is too cool !!!!!!

  • From nitha Tue 21 Nov 2006 10:24 PM

    Well what about print outsourcing or print on demand, where in a user any where outside in India can take advantage of the low printing costs in India.

    One typical example would be a student in the US who wanted to print say 100 pages from the web or from the site “howstuffworks.com” all he has to do is logon to the website http://www.printoutsourcing..............com and upload the files to be printed. The site wil do the prnting in india and will ship it back to the customer using a FEDEX or a DHL.

    Guys would u think this will work, actually is there that much costdifferences between printing in India when compared with other countries?, can the service can still be provided cheap even after the shipping charges?

    So any one game for the idea?, hmm well its up to u, do the research, possinlity study and be the printsquare in print outsourcing and when u get the first 5 million bucks from seqoa capital, i will be here again on content sutra to comment:)

  • From Ashish Wed 20 Dec 2006 11:36 AM

    This blog post puts some figures in perspective:

    http://www.longtail.com/the_long_tail/2006/12/the_long_tail_o.html

    Evidently 20% of digital photos are printed, at least in western countries.

  • From Leonard Fernandes Fri 26 Oct 2007 09:42 AM

    Like Nitha said, print-on-demand is definitely an option that makes a lot of (economic) sense. CinnamonTeal provides these services in India and is the only service provider to do so in India

  • From Kumar Tue 13 Nov 2007 11:58 PM

    @Nitha
    your vision is qute right but international shipping and other norms puts high voltage pressure on the commercial viability of the this kind of projects.
    You need volume to compensate quality and price.

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