Get All Access for $5/mo

99labels Co-Founder Ishita Swarup Passes Away Just two years into the business, it raised INR 16 crore from Info Edge and Bikhchandani, but it didn't go well

By Entrepreneur Staff

You're reading Entrepreneur India, an international franchise of Entrepreneur Media.

99labels

On July 16th, the IMT Alumni Association, Ghaziabad shared about the passing of Ishita Swarup, co-founder and CEO of 99labels, on its X handle. The tragic news was reshared by Sanjeev Bikhchandani, vice-chairman and founder of Info Edge, on July 18th.

"This is tragic and premature. We had invested in Ishita's startup 99labels more than a decade back. The business didn't pan out the way we had all hoped, and we took a write-off. Since then, we lost touch," Bikhchandani's X post read.

Ishita Swarup launched 99labels in September 2009 with co-founders Anchal Jain and Ankur Prakash with a seed capital of INR one crore. Ninety Nine Labels Pvt. Ltd was an online shopping portal that offered deep discounts on branded clothes, footwear, watches, and other items. According to its founders, 99labels was able to make significant growth in global markets, including Paris and New York, from its inception.

The business model of 99labels was inspired by Vente-Privee, a France-based flash sales shopping portal that pioneered the flash model. This model offers limited-period deep discounts on products to website members, a business model that Swarup followed.

"The flash sales model was extremely successful worldwide as an e-commerce format. It was popular across the world - Singapore, Brazil, Russia, France, etc.," Swarup explained in her previous interviews.

This concept was new to the Indian market, and she was the first entrepreneur in India to introduce this model. Just two years into the business, it raised INR 16 crore from Info Edge and Bikhchandani.

However, issues started cropping as early as 2010-11 when the e-commerce space began overcrowding. This was coupled with a mega-investment of INR 201 crore in its rival, Fashion and You. In early 2012, it raised another round of investment of INR five crore. But it was not enough to compete with the capital-heavy rival.

However, in 2014, the company faced some hurdles, leading its investor, Info Edge, to write off its total investment of INR 29.3 crore in the company. "The value of the investment is less than what we invested," Bikhchandani mentioned earlier in the media.

After this, 99labels changed its business model and tried to survive in the e-commerce market, but it failed. "I have been here for three and a half years, making mistakes, and have learned a lot of lessons," Swarup said in previous interviews.

The last updates of 99labels date back to 2012.


The cause of her death remains unknown, and not much was known about Swarup post the decline of 99labels.

Entrepreneur Staff

Entrepreneur Staff

Editor

For more than 30 years, Entrepreneur has set the course for success for millions of entrepreneurs and small business owners. We'll teach you the secrets of the winners and give you exactly what you need to lay the groundwork for success.
News and Trends

"45% of All Ongoing Hydropower Projects in India are Ours": Patel Engineering

Patel Engineering reported a turnover of INR 4,400 crore in the last fiscal year, with a projected 10 per cent growth for the current year.

Side Hustle

'Hustling Every Day': These Friends Started a Side Hustle With $2,500 Each — It 'Snowballed' to Over $500,000 and Became a Multimillion-Dollar Brand

Paris Emily Nicholson and Saskia Teje Jenkins had a 2020 brainstorm session that led to a lucrative business.

Leadership

Should I Stay or Should I Go? 8 Key Points to Navigate the Founder's Dilemma

Here are eight key signs that help founders determine whether to persevere or let go.

Marketing

5 Critical Mistakes to Avoid When Giving a Presentation

Are you tired of enduring dull presentations? Over the years, I have compiled a list of common presentation mistakes and how to avoid them. Here are my top five tips.

Business News

Former Steve Jobs Intern Says This Is How He Would Have Approached AI

The former intern is now the CEO of AI and data company DataStax.

Leadership

Visionaries or Vague Promises? Why Companies Fail Without Leaders Who See Beyond the Bottom Line

Visionary leaders turn bold ideas into lasting impact by building resilience, clarity and future-ready teams.