Last month, Servify discussed raising $100 million at a $1 billion valuation as it gears up for an IPO in the next 24 months.

Fixing After-Sales One Repair at a Time

Sreevathsa Prabhakar began his undergraduate studies in electronics engineering.

He later pursued a Master’s in Information Systems at the University of Mumbai. Sreevathsa didn’t just learn the technical nuts and bolts of the field. He also got an up-close look at how big companies operate while working with brands like Nokia, Tata Teleservices, LG Electronics, Samsung, and BPL. 

One recurring theme stood out: the after-sales service experience was consistently treated as an afterthought.

Inspired to change that outlook, Sreevathsa launched his first entrepreneurial venture in 2009: The Service Solutions. This startup focused on delivering technology-driven customer service for consumer durables—an idea that quickly proved its worth. 

While many brands saw post-purchase support as a cost burden, Sreevathsa saw it as a chance to engage customers and forge lasting relationships. His success eventually caught the eye of Germany’s B2X, which acquired The Service Solutions.

But even after selling his first venture, Sreevathsa felt the story wasn’t finished. The after-sales process still had glaring gaps. 

In 2015, he founded Servify with a vision beyond simple service calls. Servify was conceived as an app-based, digital platform that works like an ERP for after-sales service. Changing ingrained behavior in a cost-conscious market like India wasn’t easy, but Sreevathsa was convinced.

By consolidating everyone—customers, service centers, manufacturers, and logistics partners—onto one platform, he believed brands could transform “after-sales” from a dreaded chore into a powerful loyalty driver. 

Indeed, data collected along the service journey could also help brands improve products, making the support cycle a source of continuous innovation.

That’s how Sreevathsa’s background and belief in customer-centric solutions set him on a path to reinvent after-sales service—first through The Service Solutions, and again with Servify. 

When Sreevathsa set out to build Servify, he knew it would be an uphill battle. 

Processes and people operated in silos. He wanted to change how brands thought of this part of their business, and changing behaviour is never easy. He was buoyed by the size of the impact he could create.

From Warranty Woes to Seamless Support

By 2016, it was clear to Sreevathsa Prabhakar and his team that after-sales service for smartphones, electronics, and appliances had become a disjointed mess. 

India’s smartphone market had exploded by 2016, driven by growing consumption and a willingness to be connected. But its service market had not kept pace. 

Consumers typically had to juggle multiple points of contact—manufacturers, insurance providers, logistics partners, and independent repair centers—all of which operated in silos. Tracking warranty details, repair progress, or even a simple insurance claim required time-consuming back-and-forth, leaving people frustrated and eroding their goodwill toward the brand.

A significant clue to just how urgent the problem was came from a staggering statistic: by some estimates, in 2016, there were about 2.4 billion electronic devices—smartphones, appliances, and more—in Indian homes, all at different stages of their life cycle. 

Brands, meanwhile, were spending nearly two-thirds of their marketing budget on after-sales services. 

In India alone, that amounted to around $4B; worldwide, it soared past $40B. Despite the hefty investment, much of the effort was still centred on performing isolated transactions rather than delivering a cohesive, satisfying experience.

Servify initially tried to tackle these issues with a consumer-facing app. 

Released in late 2015, the app let users store purchase bills and warranties for all their gadgets in one place, then access brand-authorized repairs—both in-warranty and out-of-warranty. 

Within a month of launch, it drew close to 100,000 customers and onboarded 600 partners, proving consumers were hungry for a more straightforward, transparent approach. But as the app expanded, it became obvious that true transformation needed to happen behind the scenes, at the ecosystem level.

That realization prompted Servify to shift gears and adopt a B2B model. 

Instead of expecting consumers to juggle every service aspect, Servify started working directly with manufacturers, repair centres, logistics providers, and insurers to bring them onto one platform. By unifying all the data and automating the most cumbersome processes, the company ensured that everyone—from the brand to the end-user—has real-time visibility into what’s happening. 

The result was a smoother, faster, and far less stressful experience for customers and a more efficient, cost-effective operation for the brands themselves.

In short, Servify saw that the only way to fix after-sales service was to integrate every player and touchpoint under a single digital umbrella. 

The numbers backed them up: billions of devices in use, billions of dollars in after-sales costs, and millions of customers frustrated by a system that wasn’t designed with them in mind. Servify transformed post-purchase support from a dreaded chore into a genuine loyalty builder by taking on this massive challenge.

Investors were recognising their early traction.

Turning Investor Skepticism into After-Sales Success

Having drawn plenty of early investor interest, Servify validated its concept through a series of pilot programs rather than rushing into a deal. 

These pilots introduced Servify to a broader audience and highlighted what the platform could do. 

A standout pilot in 2016 was Servify’s collaboration with OnePlus to launch the “OnePlus Care” app, letting users run simple self-diagnostics on their smartphones for speakers, microphones, battery health, and more. 

Customers could schedule free pickup and drop-off for major repairs, and new OnePlus 3 buyers on Amazon got a 12-month complimentary Accidental Damage Protection Plan. 

The program was an immediate success. 

Over half the issues would be solved within 24 hours, from pickup to drop off, and the problems with part replacement would take up to 2-3 days. Users could track the repair status in real-time via the One Plus Care platform and, therefore, be aware of every process step.

Hot on the heels of their successful pilot and with a proven founder at the helm, they would go on to raise an Pre-Series A round in June 2016. 

Thanks to the pilot, the company’s user base had already doubled to over half a million devices, and these new funds were used to expand its product, engineering, and business teams. A portion of the investment also went toward building a state-of-the-art service and repair facility in Mumbai in collaboration with several mobile brands.

By 2017, Servify had partnered with Nokia to offer insurance plans for all Nokia smartphones in India, starting at INR 399 for 12 months—covering risks beyond standard warranties. 

By early 2018, Servify announced plans to go global from a regional headquarters in Seattle. The Indian upstart secured partnerships with over 400 walk-in service locations across North America, where customers could get their smartphones repaired in as little as two hours.

This would be a game-changing experience for customers who often had to wait for days once they shipped their smartphones to hubs recommended by OEMs.

Servify would quickly move to replicate this model across Europe, the Middle East and Asia by the end of the year.

Built in India, Servify was ready to take its services global.

Jackpot Everyone Overlooked

By August 2018, Servify secured a Series B funding of $15M, positioning it to expand into Europe and Asia while reinforcing its leadership in India’s booming consumer electronics market. 

That sector had already reached $49B in value by 2017. It was projected to surpass $90B by 2026, with smartphones comprising roughly 30% of sales and household staples like TVs, ACs, and refrigerators making up an additional 40%. 

Servify was building on a jackpot

By 2019, Servify's revenue model was predominantly service-oriented, focusing on white-labeled protection plans offered through mobile applications and web portals. 

These plans, tailored in collaboration with partner brands, were designed to enhance the after-sales experience for customers, covering aspects like underwriting, distribution, claims administration, and fulfillment.

During this period, these white-labelled protection plans generate a substantial portion of Servify's revenue. This significant contribution underscored the company's strong market presence and ability to expand despite intense competition.

To diversify its revenue streams, Servify also engaged in the sale of mobile handsets and spare parts. This vertical complemented its service offerings by providing customers with genuine components and devices, ensuring quality and reliability in repairs and replacements.

Adopting an asset-light operational strategy, Servify minimized fixed costs by leveraging partnerships with OEMs and an extensive network of authorized repair centers. 

This strategy reduced the need for significant capital expenditure on infrastructure, allowing the company to remain agile and responsive to market demands.

Servify was making money from customers, but it had to make money for itself too

Monetizing Repairs Make Warranty Work

Servify’s cost structure was optimized using better processes and technology. 

The primary cost drivers for Servify included direct operating expenses such as underwriting and service-related costs, which constituted about 70% of the total expenses, excluding employee benefits, IT, legal, and other overheads. 

Servify maintained cost efficiency while delivering high-quality services by focusing on these core operational areas.

To ensure exceptional customer satisfaction—maintaining levels above 95%—Servify implemented real-time monitoring of its service networks and employed dynamic resource allocation. 

The integration of automated workflows and data-driven insights facilitated rapid scaling of operations without incurring proportional increases in marginal costs.

Offering premium services, such as extended warranties and device trade-in programs, enabled Servify to sustain gross profit margins ranging between 20-30%. 

By aggregating a large volume of device protection plans, the company negotiated favorable bulk rates with insurers, securing lower per-device premiums. This approach ensured predictable risk management and enhanced profitability.

Strategic collaborations with service centers guaranteed a consistent flow of repair requests, allowing Servify to obtain discounted rates for services and authentic spare parts. Direct partnerships with device manufacturers further eliminated intermediary costs, providing access to genuine components at negotiated prices. 

This direct-to-OEM approach empowered the company to offer competitive protection plans while preserving profit margins.

In 2020, Servify established a strategic partnership with AmTrust Financial Services, a prominent underwriter of extended service and warranty coverage. This collaboration was pivotal for Servify's expansion, particularly in the North American market. The company had scaled to 70 Cr of revenue. 

By leveraging AmTrust's extensive insurance expertise and financial stability, Servify was able to underwrite large consumer electronics warranty programs, enhancing its service offerings and credibility. 

This partnership facilitated collaborations with major brands such as HP, OnePlus, and Samsung in the United States and Canada, enabling Servify to introduce customizable product protection plans and more than double its written premium annually since the partnership's inception.

With this strong foundation, Servify was poised to embark on a significant growth journey.

From Startup to the Spine of After-Sales

Servify rapidly transitioned from a promising startup to a dominant force in post-sale device care. 

This transformation was driven by strategic funding, pivotal partnerships, and targeted acquisitions, all aimed at enhancing the consumer experience and expanding global reach.

In 2020, Servify secured a $23M Series C. This substantial capital infusion was strategically allocated to scale global operations and enhance Servify's technology platform, ensuring robust support for its expanding services.

Leveraging this financial momentum, Servify forged partnerships with leading smartphone manufacturers, including Apple, Samsung, OnePlus, and Xiaomi. These collaborations were not merely about expanding brand associations; they aimed to revolutionize post-sale support by integrating directly into the OEMs' ecosystems. 

This integration facilitated seamless warranty management, repair services, and upgrade programs, thereby simplifying device care for millions of consumers.

To further bolster its service capabilities, Servify acquired the gadget repair startup iService in January.. This strategic move enhanced Servify's in-house repair expertise, enabling more efficient and reliable service solutions.

By 2020, Servify expanded its footprint into the U.S.A., Canada, Europe, and the Middle East, connecting over 43,000 retail locations and integrating more than 16,000 service partners. 

This extensive network positioned Servify as the backbone for OEMs, facilitating seamless warranty management for brands like OnePlus and Nokia in Europe. In the Middle East, it collaborated with Noon to offer the white-labeled protection program, Noon Care.

Despite not achieving profitability by 2020, Servify's operational strength was evident in its ability to manage millions of devices and generate revenue primarily from smartphone coverage. 

This success highlighted the scalability of its Software-as-a-Service (SaaS) model, which allowed for efficient and effective service delivery.

To enhance its technological capabilities and global presence, Servify acquired key businesses of the German-based company WebToGo in early 2021. 

This acquisition brought advanced self-care diagnostic solutions and data-driven customer support into Servify's portfolio. Notably, Servify integrated two of WebToGo's flagship solutions: 'myhandycheck,' a mobile device diagnostics suite, and 'wenewa,' a tool designed for remote identification, diagnosis, and triage of connected devices.

A huge milestone was the partnership with Samsung, leading to the launch of Samsung Care+ for Business in the U.S. in 2022. 

Servify played a crucial role in administering the program, managing 1.3M contracts, and integrating services for over 1,400 enterprises, including major clients like Walmart and Mobile County Public Schools. Servify’s B2B pivot was playing off, big time. 

Through these strategic decisions and initiatives, Servify expanded its service offerings and global reach and fundamentally transformed the post-sale device care landscape, setting new standards for customer experience and operational efficiency.

Beating OEMs at Their Own Game

The Indian mobile device management market clocked a revenue of $285M in 2023 and was expected to reach $1.8B by 2030 at a CAGR of ~29%. 

Entering this market is easy to say the least. The market opportunity is huge and capital expenditure is negligible. There are no regulatory barriers and anyone could start a localised service centre. Servify had a huge competitor base operating both in the organized and unorganized market.

Competitors for Servify in the domestic market were OnsiteGo and GoWarranty. Additionally, there were notable players in the international markets like Protect4Less in UAE And SquareTrade.

Even in-house warranty services of OEMs and small localised players who operated in the unorganized market offered direct competition to Servify.

The market was cluttered, but Servify had a way out.

Rather than positioning itself as an insurance platform or servicing intermediary, Servify turned into a holistic tech platform offering OEMs a single window for the entire gamut of services from repairs to warranty to logistics. 

It allowed end-to-end integration across the device lifecycle, ecosystem lock-in with the OEM, and improved capital efficiency. The rich data gathered offered an opportunity to customize its offerings. Servify had an early mover advantage.

Mobile device management market was big but business saturation had started to kick in. Servify had to find a way to keep the shop lights glowing bigger. They wanted to expand into appliances management space but lacked the expertise. They decided to take the inorganic route.

247Around, a one-stop management platform for a wide range of products, was looking for a buyer to get acquired. In Feb '22, Servify acquired 247Around, leapfrogging ahead of its competitors in the market.

Despite introducing such a varied range of services and products, the business faced a fundamental challenge- consistency in quality. One of the major threats underlying this business was if OEMs decided to forward integrate their business and build their own digital ecosystems.

For end users, switching costs to another device management provider was negligible. The fragmented nature of the market and high price elasticity required any provider to spend profusely on acquiring the customer and subsequently, offer best service at cheapest price. Servify opted for the B2B route to surpass this hurdle.

Servify partnered with OEMs to help build their digital ecosystems rather than follow a consumer-focused approach. The company obtained long-term contracts and strong and steady revenue recognition, a major differentiator against its competitors.

Running the Show for Brands

Servify has come a long way from its early struggles to convince OEMs to rethink after-sales service. Today, it stands as a global leader in device lifecycle management, operating in 40+ countries with 18K service locations—a scale that reflects its deep integration into the consumer electronics ecosystem.

In FY24, Servify’s revenue grew by 23%, reaching INR 755 Cr, up from INR 611 Cr in FY23. 

Its core business—white-labeled protection plans and platform licensing—remains the primary revenue driver, contributing INR 663 Cr, marking a 19% YoY growth. Meanwhile, revenue from mobile handset and spare parts sales surged 66% YoY to INR 91 Cr, adding another layer of revenue diversification. 

India remains Servify’s largest market, contributing 57% of total revenue, followed by the US at 39%. With a strong foothold in key international markets, the company is inching closer to its ambition of becoming the de facto global infrastructure for consumer electronics service.

However, profitability remains a challenge. 

Servify spends INR 1.14 to earn every INR 1, indicating operational inefficiencies that need optimization. While cost of materials and protection plans made up 67% of total expenses, cost-cutting in employee benefits—down from INR 183 Cr to INR 158 Cr—has helped trim losses. 

Net losses reduced by 59% to INR 94 Cr in FY24. The combination of revenue growth and controlled spending suggests that the company is laying the foundation for long-term sustainability.

The biggest challenge? 

Scaling efficiently without inflating costs. Servify’s reliance on external logistics and repair networks keeps its cost structures high, making operational efficiency a key priority. 

More critically, OEMs are moving toward forward integration, posing a direct existential risk to Servify’s business model. Apple, Samsung, and Xiaomi—Servify’s biggest partners today—could become its biggest competitors if they build their own in-house device lifecycle management platforms, reducing dependence on third-party service enablers.

Beyond OEM competition, Servify faces rising threats from OnsiteGo and GoWarranty in India, while SquareTrade dominates the US market. But its real battle is not just against rivals—it is against relevance itself in a world where brands may prefer to build their own their service ecosystems. The good part is that it’s not as easy to do as it seems. 

With profitability and efficiency now the primary focus, Servify’s next challenge is not just to grow—it is to grow smartly and defensively, ensuring that its platform remains indispensable to OEMs, rather than replaceable.

Building the Future of Device Care

Servify is now eyeing a $100M funding round, which could value the company at $1B, pushing it into the coveted unicorn club. 

This funding is a likely precursor to an IPO within the next 24 months. Servify’s growth strategy for the future is built on four key geographies.

The company is aggressively expanding its footprint in North America, Europe, and the Middle East, while simultaneously exploring new opportunities in Latin America and Southeast Asia, tapping into high-growth regions where consumer electronics adoption is surging. 

But growth is not just about geography. Servify is diversifying beyond smartphones, making a strategic push into appliance protection and automotive lifecycle management, leveraging its existing tech stack to establish dominance in adjacent markets.

Technology remains central to its playbook. AI-driven diagnostics and predictive maintenance are expected to become key differentiators, allowing Servify to reduce service costs and improve overall efficiency.

However, direct consumer sales remain a challenge, given the thin margins in this space. Rather than competing for individual customers, Servify is doubling down on long-term OEM partnerships, ensuring that it remains an integral part of the device lifecycle for the biggest electronics brands in the world.

Servify started with a simple mission—to make after-sales service seamless. 

Nearly a decade later, it has transformed into a global leader in device lifecycle management, operating in 40+ countries and managing service networks for some of the world’s biggest brands. With over $130M in funding to date, investors have placed their confidence in Servify’s ability to define the future of global device care.

More importantly, Servify has already proven its worth. It has revolutionized after-sales services, integrated itself deeply into OEM ecosystems, and positioned itself as an indispensable partner for tech giants. The 59% reduction in losses in FY24 is evidence of financial discipline, while the upcoming $100M funding and IPO reflect investor belief in its future.

Servify is not just another startup trying to survive. Its global scale, B2B dominance, and technology-driven service model have made it the gold standard in device lifecycle management. 

Servify has already reimagined the industry, and its success story is just getting started.

Writing: Parth, Jayanth, Nikhil, Raghav, Varun, Vishal and Aviral Design: Omkar and GPT