Yassir Secures $150M to Supercharge Its All-in-One App, Backed by Bond

August 20th, 2024 Written By Aman Singh, Edited by ChatGPT

Image Created by Aman SIngh using Canva 08-20-2024

The African super app Yassir which avails a plethora of services at the touch of a button has raised $150 million in a Series B funding round. The new investment, achieved five months after a $35.6m raise in November, was led by Bond, a growth-stage venture firm Meeker started after leaving Kleiner Perkins in 2018. Other prominent investors that joined include DN Capital, Dorsal Capital, Quiet Capital, Stanford Alumni Ventures and Y Combinator’s Continuity Fund, which is a clear testament to the faith that these firms have in Yassir’s charisma and growth trajectory.

Founded in 2017, Yassir which was developed in Algeria, has been able to gross $193.25 million to date. Unfortunately, they have not released their current valuation but they currently claim that they are the highest-valued startup in North Africa and one of the highest-valued across Africa and the Middle East. According to the current trends, this platform aims to expand its operations in these areas in the future months.

The Birth of Yassir: Filling The North African Gaps

When Yassir’s CEO, Noureddine Tayebi, first launched the startup, his goal was clear: to develop a single app that offers a set of services to consumers in the French-speaking Maghreb region of Algeria, Morocco and Tunisia. Products like ride-hailing food delivery and grocery delivery were either not available or could be accessed through multiple disparate channels.

Fast forward to today, and Yassir has grown significantly adding services in 45 cities in six countries. It has turned into an essential tool in the lives of many consumers and users, especially in Algeria, where approximately 60% of requests in the economy are performed through Yassir. This calculated growth has helped Yassir solidify its foothold in the region and continues to pave the way for its next big move: George offers banking and payment services.

Banking the Unbanked: Yassir's Plan to Build Trust

The move into financial services was always on the cards within Yassir’s strategic vision. Another source of information that is closely related to the topic in question is Tayebi who identified trust as the primary determinant of success in this kind of business. Specifically, in regions such as North Africa, there is a huge population that employs the services of the BFIs but is still considered unbanked due to the saying no confidence in traditional banking channels. While on-demand services are targeted at satisfying people’s needs in the present, Tayebi regarded them as an opportunity to increase trust. With the help of such simple and constant services, Yassir can now focus on making mobile banking its next target market.

For context, over 65% of Morocco’s population does not have a bank account, and across Africa, a 2018 McKinsey report found that 57% of the population is unbanked. However, a report also states that 40% of the African population prefers digital transactions. Yassir’s strategy aligns with these trends, aiming to bring mobile banking into a broader suite of services that already serve millions of users.

"As we move towards a more connected world, super apps will redefine the boundaries of convenience and accessibility."

We had a vision from the start to develop a super app that incorporates payments and makes the process easy. We noticed that many people didn’t trust local banks, so we started with services that address everyday spending habits. As users trust us more, we can extend that relationship into the financial sector,” Tayebi explained in a recent interview.

Building an Ecosystem for Daily Life

Yassir’s super app isn’t just about convenience; it’s about creating an entire ecosystem where users can manage various aspects of their daily lives. From ride-hailing to ordering food and groceries, the app has attracted over 8 million users—a significant jump from last year—and built a network of more than 100,000 partners. These partners include drivers, couriers, merchants, and suppliers, who all contribute to Yassir’s growing influence in the market.

The platform also has a B2B component, connecting fast-moving consumer goods (FMCG) suppliers with local merchants. This diverse network forms the backbone of Yassir’s financial services, which will use its fleet of drivers and couriers as money agents to help facilitate payments.

What's Next for Yassir?

With components that resemble Uber, DoorDash, Udaan, and PayPal, Yassir’s next steps will focus on expanding its influence even further. The company plans to grow its team, particularly its engineering and product divisions, and triple their size to support continued innovation. Tayebi, who earned his PhD from Stanford and spent 15 years in Silicon Valley, is particularly passionate about empowering local talent. He wants to reverse the trend of technical talent leaving North Africa for opportunities in Europe, offering them challenging and rewarding careers within Yassir.

The funding will also help Yassir expand its services and reach new markets across Africa and the Middle East. The company isn’t intimidated by competitors like Uber and Bolt, which dominate some markets. Tayebi believes Yassir’s deep roots and localized approach in its core markets give it an edge, especially in places where Uber’s subsidiary Careem has struggled.

We think of ourselves as the leaders in the Maghreb region, but there’s still so much more potential to explore,” Tayebi said. He remains confident that Yassir’s growth is just getting started. With $150 million in new funding, the company is well-equipped to continue its expansion and shape the future of the super app economy in Africa and beyond.

As Yassir continues to grow, it’s clear that the company is not just building a super app—it’s building a model for how technology can empower people across emerging markets. With a strong team, ambitious plans, and a focus on trust and local solutions, Yassir is well on its way to becoming a major player in the global digital economy.

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Sources:

• Yassir Super app, discussed in Tage Kene-Okafor article, "Yassir pulls in $150M for its super app" November 7, 2022.