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Rozana raises $31.5 million to expand rural retail

Coffee Crew  | Mar 6, 2026

Rozana raises $31.5 million to expand rural retail

Rural retail startup Rozana has raised $31.5 million in Series B funding, led by Bertelsmann India Investments.

What it does: Rozana runs a hybrid retail model that combines a shopping app with 75+ physical experience centres and its own distribution network across 21,000 villages in Uttar Pradesh and Haryana.

The plan: the fresh funding will help the company expand to 200+ stores, enter 2–3 more northern states, and build its private-label products. In the long run, Rozana aims to reach 1.3 lakh villages across India.

Why it matters: scaling rural retail is challenging due to weak logistics, infrastructure gaps, and rising competition from startups like Hesa and Vilcart, as well as e-commerce giants Amazon and Flipkart. Rural consumers are also highly price-sensitive.

The edge: Rozana’s hybrid model combines digital access with strong on-ground presence, which could help it expand reach and deepen customer engagement as it grows.

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