GudangAda Gets Series A Funding Worth 372 Billion Rupiah

After last February 2020 announce seed funding, today (05/5) GudangAda platform marketplace B2B for FMCG products has announced its newest funding. In the series A round, they managed to book funds worth US$25,4 million or the equivalent of 372 billion Rupiah. The funding was led by Sequoia India and Alpha JWC Ventures, with participation from Wavemaker Partners. The company will use this funding to continue to develop its technology systems, launch new business lines, and strengthen internal teams.

The platform presented provides a place for FMCG industry players to meet and conduct transactions online online, ranging from suppliers, distributors, to retail traders. GudangAda provides an opportunity for merchants to grow their business through faster inventory turnover, optimal pricing, greater choice of goods and business partners, and transparent transaction management.

It is claimed that at present, GudangAda has succeeded in connecting around 50 thousand traders in 500 cities, and covering almost 100 percent of FMCG wholesalers in Indonesia, through a support approach. (enablers).

Previously, GudangAda received initial funding from Alpha JWC Ventures and Wavemaker Partners, with participation from Pavilion Capital, amounting to US$10,5 million or around 154 billion Rupiah. With this series A funding, the company has managed to raise a total funding of US$36 million in the 15 months since its establishment.

“When we first invested in GudangAda and Stevensang, we knew that they would be the leading players in the FMCG industry, not only in Indonesia, but also in Southeast Asia [...] FMCG is an industry that still operates in a traditional manner and is also difficult to break. innovation. It is not easy to change habits and behaviors, especially those that have been done for decades. However, GudangAda proves that this can be done if the perpetrator understands where pintu the best entry, what difficulties are faced, and how to execute the strategy effectively,” explained Alpha JWC Ventures Managing Partner, Chandra Tjan.

Sure enough, previously there were several startups selling similar services, making it easy for business partners to fulfill basic needs. Targeting partners from food businesses, previously there was Stoqo which provided similar services. But earlier this year they had to announce service termination. In addition, there are other players such as Foodia, Eden Farm, Wahyoo and others with different specialties -- but the essence is the same, being hub for business people with merchandise providers.

Momentum in the midst of a pandemic

GudangAda was founded in late 2018 by Stevensang (CEO) who has 25 years of experience in the FMGC industry. In his interview with DailySocial he once said, "GudangAda was founded because of concerns about the continuity of the traditional store business in the digital era. The business concept being promoted is to empower all parties involved in the ecosystem so that they can get optimal benefits from the platform."

In the midst of the Covid-19 pandemic, the solution WarehouseAda instead it is gaining good momentum to expand its scope. There is a recommendation to do physical distancing create a solution based online become an alternative to meet the needs of FMGC products – helping to ensure the availability of basic necessities and other daily needs, as well as helping industry players to keep running optimally during the PSBB period in many areas.

“B2B supply chains in many developing countries face challenges in terms of limited capital, ineffective inventory management, and manual operational processes. GudangAda is building a digital ecosystem that can change the face of Indonesia's FMCG industry which is still running traditionally [...] Indonesia will witness the emergence and development of the use of B2B technology in waves E-commerce second, and we are very pleased to have the opportunity to work with GudangAda on this journey,” said Abheek Anand, Managing Director of Sequoia Capital (India) Singapore.