The tyre market volume in India stood at 196.3 Mn units in 2023 and is projected to reach 253.9 Mn units by 2032. The country’s rapidly growing automotive industry, valued at $121.5 Bn in 2024, and the expansion of roads and highways exceeding 5.5 Mn km are expected to bring even better prospects for the $13 Bn tyre industry. However, trading in tyres has long been a complex, fragmented ecosystem where performance and pricing continue to puzzle prospective buyers.
“Take vehicle owners, for instance. Nearly 70-80% of Indian consumers struggle to identify the right tyres due to varying specifications based on make, model and year. On the other hand, Tyre dealers suffer from unpredictable demand, loss of sales and the burden of high working capital, to say nothing of supply chain inefficiencies,” said Puneet Bhaskar. He led the founding team that launched TyrePlex, a technology-first managed marketplace transforming how tyres are bought, sold and distributed offline.
The founders did not start this business in a hurry. Bhaskar (he is also the CEO) and the other three – Rupendra Pratap Singh, Nikhil Kalra and Jiveshwar Sharma – are industry veterans with more than 50 years of combined experience and complementary skills in technology, product development and ecommerce. TyrePlex is the outcome of their collective vision, unfolding how digital retail can tap into new opportunities when legacy segments are ripe for disruption.
The platform works with multiple brands, creating brand awareness and generating demand via its e-marketplace at two levels.
On the B2B front, it connects tyre dealers with leading brands and a broad range of products (tyres for cars, bikes, scooters, EVs and commercial vehicles) to provide real-time inventory access, pricing options, data-driven market insights and CRM tools. This service bouquet helps registered dealers optimise stock management and meet customer demands effectively. They can also set up digital stores on the TyrePlex website and app to expand their reach and grow revenues.
“We use our extensive distribution network to meet dealer demand and earn a margin on every transaction. Approximately 80–85% of our total revenue comes from the B2B channel, indicating the high volume of business,” said Bhaskar.
On the B2C side, it has an intuitive interface for retail shoppers to simplify what matters most – finding the right tyres for their vehicles. Powered by an AI-assisted recommendation engine, dealers can browse, compare and choose suitable products based on vehicle types, brands, specifications, usage and budget. It also ensures speedy deliveries within three to four hours.
The B2C marketplace contributes 10–15% of its revenue and focusses on delivering a personalised and hassle-free buying experience.
TyrePlex has a strong on-ground presence in Delhi NCR and Bengaluru and claims to have 20K registered tyre dealers on its platform. It recorded a 12x rise in revenues and a 259% CAGR over three years, according to Bhaskar.
The business aims to double its revenue in the current fiscal year and recently raised INR 20 Cr in a Series A round. Its success has been bolstered by early investments from Venture Catalysts++, 100Unicorns and other institutional backers who have played a crucial role in its growth journey (more on that later).
How TyrePlex Has Turbocharged Its Managed Marketplace With Technology
Adding a technology edge to the sales and marketing of a product often viewed as a ‘rubber doughnut’ requires a change in mindset and a proactive approach, bridging the gap between manufacturers, dealers and end users. At its core, this platform simplifies tyre selection and purchasing through technology, a robust distribution network and strategic partnerships.
“Our end-to-end model benefits all stakeholders. Consumers can enjoy a seamless buying experience and satisfaction at every touch point. Dealers can drive sales and improve procurement. Manufacturers can generate greater demand and enhance brand visibility. Also, as a multi-brand platform, we leverage the long-tail nature of this industry to satisfy a wide range of customers,” the CEO said.
As TyrePlex has positioned itself as a technology-first platform from the outset, here is a look at the five tech features putting it ahead of the curve.
Spotting market trends: The startup analyses historical and real-time data and tracks shifts in consumer preferences and technological innovations to pinpoint in-demand products and trends.
Developing networks: The platform’s core tech features underpin collaborative networking, partnership management and convenient deliveries in multiple cities. The use of advanced technologies across business operations has helped it establish a strong distribution network, ensure product availability, manage inventories and expand its operations into key urban markets.
AI-based recommendation engine: For retail buyers, TyrePlex has an AI-powered recommendation engine to spot the best products based on several criteria such as vehicle type, model, make and year, specifications and cost. By offering curated suggestions for specific needs, TyrePlex enhances customer experience and minimises the risk of buying mismatched products.
CRM for effective customer management: All businesses need CRM solutions to keep track of customer data, understand their preferences and needs, pitch products and survey satisfaction levels. Hence, TyrePlex offers its dealers a comprehensive CRM programme that can be implemented quickly to ensure hassle-free operations.
A deep dive into tech: The startup is all set to enhance its technology stack, develop dealer-centric tools and launch pilots for tyre recycling and reverse logistics.
Strategic Funding By VCats++ & 100Unicorns Accelerated Growth
TyrePlex has already secured INR 33 Cr, including a recent round of INR 20 Cr from a clutch of well-known investors such as PeerCapital, Titan Capital Winners Fund, Sattva Family Office and existing stakeholders like 100Unicorns.
However, early-stage funding provides a critical runway for innovative ventures disrupting less-explored areas. After all, it is not an incremental development involving an already established business but a new concept, and these ventures need to iterate their products or services to find a viable product-market fit. That costs a lot of time and money, with little guarantee of success.
TyrePlex, too, had been through this phase before Venture Catalysts++ (VCats++) and 100Unicorns came in 2022 to fund the initiative. Bhaskar shared how the two played a pivotal role in the startup’s growth, connecting it with industry leaders, key investors and prospects for handholding and revenue generation.
For context, VCats++ is a multi-stage VC investing in early stage, consumer-facing startups. And 100Unicorns is the flagship fund of the Venture Catalysts (VCats) Group, supported by more than 10K angel investors and family offices.
“Their support enhanced our visibility, particularly through events such as DDay.” It is 100Unicorns’ much-anticipated Global Demo Day, which brings together global VCs, family offices and high-net-worth individuals (HNIs). TyrePlex pitched there to hundreds of businesses and potential investors, and it was a big moment,” shared Bhaskar. As a result, the startup saw a remarkable surge, with the revenue soaring from INR 6 Cr to INR 46 Cr.
From Factories To Garages Via TyrePlex: Will It Be A Smooth Ride?
Despite short-term upheavals (experts predict single-digit revenue growth in FY25 for two years in a row), the Indian tyre market is estimated to reach $29.2 Bn by 2030 at an 8.2% CAGR, underscoring the significant expansion of a dynamic sector.
TyrePlex’s growth plans are equally ambitious. Guided by qualitative and quantitative data, it will explore high-demand regions and have a physical presence in the top 25 Indian cities. This proximity will further reduce its delivery window for B2B and B2C transactions.
“Within a year, we will enter more metros, Tier I and II cities such as Mumbai, Pune, Hyderabad and Chennai. We will also add more products and services to our dealer management system, helping them manage their stores better and improve sales and margins,” said Bhaskar.
By FY26, TyrePlex expects its expansion plans to fructify and aims to reach INR 200 Cr in revenue. Given its commitment to building a fundamentally strong and sustainable business, it will also opt for an IPO in the next five years.
Bhaskar credits this growth to the startup’s capability to leverage data-driven insights, adjust to market trends and provide value to all customers and stakeholders.
“We have been able to grow sustainably without compromising on unit economics. Our achievements also underline that TyrePlex is emerging as a disruptive force, focussing on technological innovation, operational excellence and a thorough comprehension of market dynamics to set up new industry standards,” he added.
However, the retail market has always been fast-paced and highly competitive, evolving with new trends and consumer preferences. One classic example is the rapid transformation of traditional ecommerce into time-bound quick commerce. Similarly, online tyre retailing may not be the ultimate game changer for long. Manufacturers can take it up if earnings are attractive, while product-as-a-service is emerging as a new trend in tyre selling to cater to large fleet owners. Under this model, buyers pay for the actual usage of tyres (kilometres covered). As of now, retail shoppers do not have access to such payments. But will they ask for incentivised aftermarket services after making an online purchase?
Of course, one cannot predict upcoming trends at this point. However, TyrePlex and its peers will do well to focus on technical and business innovations to make the most of the transformations, as tyre retailing will play a crucial and integrated role in this shift.
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