Receive Series B Funding, Shipsy Logistics Platform Soon to Establish Regional Headquarters in Indonesia

Logistics SaaS platform developer startup "Shipsy" has announced that it has just closed a $25 million series B funding round from A91 Partners, Z3 Partners, Info Edge and Surge from Sequoia Capital India. One of the plans that will be executed in the near future is to build a regional head office in Indonesia, to serve the market share in Southeast Asia.

Massive expansion will indeed be carried out with this newly acquired fresh fund. Apart from Southeast Asia, Shipsy will also explore new markets in Europe and the United States. Currently the Shipsy team has 220+ employees based in India, Dubai, and Indonesia serving 60+ customers from various countries. It is claimed that their service has resulted in 100 million+ cargo shipments every month and optimized the movement of more than 2 million packages every day.

Shipsy's main services help businesses to build their supply chain and logistics operational management, such as logistics service procurement, shipment tracking, route planning/optimization, courier aggregator, and others. These various needs are accommodated by their two main platforms, namely Shipsy Geocoding and Shipsy Live Tracking.

Logistics business potential

According to a report published by CLSA and research by Frost & Sullivan, the size of the logistics market in Indonesia has reached $275 billion in 2020 with a CAGR growth of 16,2% from 2015. It is projected revenue of this business will exceed $300 billion by 2024. However, there are still various basic issues experienced by business people in Indonesia related to logistics, ranging from a fragmented ecosystem, an inefficient business system, to the suboptimal utilization of logistics infrastructure.

Seeing this potential, local startup in logistics continues to emerge, hoping to serve the local market which still needs excellent delivery support – in the midst of rapid business growth E-commerce and Grocery. Likewise, on the investment side, many investors are finalizing their hypotheses for the logistics business model. A number of startups also take turns getting funding.

Logistics SaaS Platform

Andalin is the latest local startup that get investor support. Precisely in mid-February 2020 yesterday, the company received additional funding of up to 57 billion Rupiah led by Intudo Ventures. One of their services is in the form of SaaS, which various companies can use to manage shipments of goods abroad using cargo services. Apart from Andalin, platforms that offer similar solutions in the local market include Tera Logistic, Allsome, and Janio.

Other SaaS solutions related to logistics fleet management, such as those provided by Kargo Technologies, McEasy, Track.io, and so on. Meanwhile, SaaS for logistics aggregators includes Shipper, BukaSend from Bukalapak, LODI, Luwjistik, and others.

Despite the intense competition, Shipsy Co-Founder & CEO Soham Chokshi said that this investment allows them to transform the global logistics industry using a technology-centric approach. The new funding raised, Chokshi added, will help Shipsy build The roadmap much more powerful products, which will help customers reduce logistics costs and create a different experience.