Dealshare, a grocery-focused social commerce startup, announced on Friday that it has laid off 100 employees, or roughly 6 per cent of its 1,500-workforce across several verticals, as part of a corporate realignment process, joining a long list of Indian startups that have been cutting headcount to cut costs.

The realignment plan comes amid difficult macroeconomic conditions, which, according to the firm’s founder and co-CEO Sourjyendu Medda, are likely to persist in the near term.

As a cost-cutting measure, it intends to realign its operations, particularly in Madhya Pradesh and Tamil Nadu, which were recently launched geographies. It is currently present in 150 cities.

Merabo Labs’ Dealshare will provide laid-off employees with a three-month notice period as well as out-placement assistance. Medda also stated that if employees are unable to secure a job offer by the end of the three-month period, the company may extend their notice period.

Dealshare’s ARR (annual revenue run rate) peaked in March-April 2022 at around USD 900 million, before dropping by about one-third to around $600 million after the company reduced its cash monthly burn by about two-thirds.

Dealshare’s ARR (annual revenue run rate) peaked in March-April 2022 at around USD 900 million, before dropping by about one-third to around $600 million after the company reduced its cash monthly burn by about two-thirds.

Despite the chief executive’s confidence in the firm’s revenue growth, which stood at around Rs 1,933 crore at the end of fiscal year (FY) 2022, he stated that the firm may not be able to break even by the end of FY23. Dealshare lost Rs 67 crore at the end of FY22.

Over 19,000 people will be laid off in Indian startups by 2022, with over 2,600 already laid off for a variety of reasons such as corporate restructuring, cost-cutting, or performance evaluation.

This week saw a spike in layoffs, particularly in the healthcare industry. Among the most recent were SirionLabs, which laid off approximately 130 employees to realign business operations, and Innovaccer, which laid off approximately 245 employees for a similar reason. InMobi also laid off 70 employees as part of its performance evaluation.

DealShare joined the prestigious unicorn club early last year after raising nearly USD 130 million in a Series E funding round led by Tiger Global Management, Alpha Wave Global, and others.

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