Lalamove Receives Series C Funding of 1,4 Trillion Rupiah, Strengthens Presence in Indonesia

Lalamove, logistics startup on demand from Hong Kong, received a Series C investment of $100 million (approximately IDR 1,4 trillion) led by ShunWei Capital and followed by former investors, such as Xiang He Capital and MindWorks Ventures.

Cheng Tian, ​​Partner of ShunWei Capital, said, "Lalamove is an important investment for VCs in the logistics sector. There is expected to be strong growth in the shipping sector in recent times, which is reflected in Lalamove's growth and performance.

"In just a few years, Lalamove's standardization, speed of service, streamlined operations and execution strategy have all drastically increased efficiency and established an excellent reputation across Asia. Their resilience and quest for continuous innovation have allowed them to lead the delivery business," said Cheng in an official statement.

CEO lalamove Shing Chow added that his company will continue to expand its services to other cities that it feels can make the company believe it can provide the best delivery service. In addition to expansion, funds will also be used to recruit new talent across the organization to bring new features that allow more direct access to Lalamove partners.

One of them is the latest API integration service from Lalamove that helps MSMEs take advantage of delivery technology on-demand Lalamove through their own business services.

In Jakarta, Lalamove's growth is claimed to have experienced quite an exponential growth over the last six months. There are more than 15 thousand users with thousands of driver partners.

This funding will be a strong foothold to strengthen Lalamove's penetration in Jakarta by continuing to add partners because it is said to experience increasing demand.

In July 2017, Lalamove is claimed to have reached an important milestone in providing delivery services in 100 cities to serve more than 15 million users. Supported by more than 2 million driver-partners across China and Southeast Asia.

Lalamove . business model

Lalamove is present in Indonesia and has been operating since February 2018. In its services, Lalamove leverages the capabilities of the web, mobile web, and sharing economy to provide same-day delivery services for SMEs who need fast on-demand delivery services.

In a previous interview with DailySocial, Marketing Manager of Lalamove Indonesia David Ceasario said Lalamove sent goods on the same day with a maximum distance of about two hours for one location and an additional 30 minutes for additional locations.

Users can choose a delivery fleet with two-wheeled and four-wheeled modes. To register as a partner, you only need to fill in personal data, vehicle data, driver's license, age over 18 years, and be willing to take part in training before entering the field.

The company determines the distribution of commission for partners 80% of the nominal order, the rest goes to the company. The set rate is flat without rush hour.

For motorbikes, the delivery rate for the first 5 km is IDR 16 thousand and for the next km, a fee of IDR 5 thousand per km is charged. Meanwhile, if the car is Rp. 16.500 for the first 3 km, after 5 km, the rate is Rp. 5 per km.

Users can make additional requests to partners if deliveries are made at midnight, national holidays, additional destinations, and extra assistance. There is an individual fee for each of these services.