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Logistics Startups Strategy Amid the Coronavirus Pandemic

Logistics Startups Strategy Amid the Coronavirus Pandemic

BlueBird (BIRD) and startup Waresix are strengthening logistics services during the corona pandemic. This business is claimed to be smooth during the pandemic. The blue taxi company entered the logistics business through BirdKirim in April 2020.

“We are adjusting the situation so we can survive,” said Blue Bird Group Chief Strategy Officer Paul Soegianto at the Wild Digital Indonesia event, Wednesday (8/9).

BlueBird also built a warehouse facility. In addition, expanding the digital ecosystem by cooperating with Gojek and Shopee.

Logistics Startups Strategy Amid the Coronavirus Pandemic

Meanwhile, Waresix acquired a similar startup, Trukita, which offers freight and trucking services for first-mile delivery. This complements Waresix’s mid-mile-focused business.

This company now offers end-to-end logistics services that cater to all aspects of the supply chain including warehouse, trucking, multimodal transportation and vendor management.

Waresix Expands Market Outside Java

The logistics startup also expanded its market outside of Java. “We are going to areas that are underserved by logistics,” said Waresix Group President Eric Dharma.

Therefore, Waresix increased the number of workers. “I think it’s the best way to keep growing,” he said.

With these various strategies, Waresix is ​​claimed to have made a profit by the end of 2019. This startup operates in more than 100 cities in Indonesia and manages more than 40 thousand trucks and 375 warehouses.

This company also serves more than 250 corporations from various business fields including Fast Moving Consumer Goods (FMCG), commodities, industrial equipment, retail and infrastructure. Some of its clients are Indofood, Unilever, Wings, Siam Cement Group, and JD.ID.

Logistics Startups Strategy Amid the Coronavirus Pandemic

The logistics business is one of the sectors that has been boosted in the midst of the corona pandemic. The Indonesian Logistics Association (ALI) noted that the flow of goods shipments grew by up to 40% during the Covid-19 pandemic.

Chairman of ALI Mahendra Rianto explained, there are three stages of delivery in the supply chain of goods or logistics.

The three are: First-mile delivery, which is the delivery of raw materials to the factory to support the production process of an item, mid-mile delivery, namely the finished product is sent from the factory to retail or shops and last-mile delivery, aka delivery from retail. or shop directly to consumers

“The increase in the flow of goods shipments occurred at the last-mile delivery stage, increasing by around 30-40%,” said Mahendra.

TransTRACK.ID Boosts Product Development for Logistics Fleet Management

TransTRACK.ID, the fleet management service provider managed to close the initial funding round. The investors involved are Cocoon Capital, Accelerating Asia, and PT Modal Ventura YCAB.

Previously, TransTRACK.ID was also one of the selected participants of DSLunchPad 2.0. This startup was founded by two founders, namely Anggia Meisesari and Aris Pujud.

Logistics Startups Strategy Amid the Coronavirus Pandemic

“This funds will be used to support our product development and sales growth. Currently our company is also looking for strategic partnerships and relationships for the next funding round,” said Anggia as CEO.

During the pandemic, the company recorded revenue growth of more than 150% compared to before. The magnitude of the need for transportation and logistics during the pandemic makes it operate with full potential to supply products and services.

These conditions are crucial for monitoring the proper use and functioning of the fleet, drivers, and safety.

“TransTRACK.ID is here to help our customers operating in the logistics and support sectors, so they don’t have to face various problems such as late deliveries, theft, bad drivers, inefficient costs, and difficulty integrating into other systems,” she continued.

Until now, there are almost 3000 users of the TransTRACK.ID system. The company can serve customers throughout Indonesia, with temporary service points located throughout Java, North Sumatra and South Sumatra. TransTRACK.ID focuses on B2B and B2B2C business models.

For logistics fleet tracking services, there are already several startups in Indonesia that are trying to provide solutions. These include Track.io, Waresix, Logisly, Webtrace, and others.