1. Startups

Material skipper Receives Initial Funding of 60 Billion Rupiah Led by Go-Ventures

Material skipper provides B2B commerce of building materials; now have 9 thousand product SKUs from 180 brands

A solid, complete, and comprehensive infrastructure is the foundation needed in carrying out the transformation. In the construction development process, the procurement of goods/services is often an obstacle in itself. Various efforts and innovations were made to make this process more effective, efficient, fair, open, transparent and accountable; one of them is through "Material skipper".

This construction technology platform from Indonesia has successfully secured initial funding (seed) of $4 million or around 60 billion Rupiah led by Go-Ventures. Also participating in this round is Susquehanna International Group (SIG).

The fresh funds are planned to be used to develop the team aggressively in product lines, developers, sales, and operations. Then, the company will also strengthen the penetration of the B2B construction market and building materials market and continue to innovate and deepen the capabilities of its product ecosystem.

Starting from the B2B Commerce platform

Founded in 2021, Materials skipper is a digital platform that aims to digitize the construction industry. This platform started with B2B platform trade for building materials, offering customers with solutions end-to-end in the source material. Through their platform they seek comprehensive product selection, stock availability, price transparency, integrated logistics, and multiple payment options.

The Material skipper also has a mission to provide value to contractors and project owners by offering them comprehensive product options, better supply visibility and reliable logistics to manage their projects more efficiently.

There are currently more than 9.000 product SKUs and more than 180 brands across structural, architectural, mechanical and electrical products installed on the platform.

As a company that runs a fairly new business model, it claims to be the fastest growing construction technology company in Indonesia. In the past year, the company has doubled its monthly average GMV while maintaining a positive economic unit. To date, more than 250 projects have been carried out with around 225 vendors.

This was made possible by the founding team who have a strong background in the world of construction and technology. Prior to establishing Juragan Materials, CEO Tito Putra was the Managing Director of a building contractor company that has been operating for more than 30 years, focusing on medium to large industrial and commercial projects. Tito was accompanied by COO Graceila Putri, with previous experience as Product Associate at Amazon and Growth for a building contractor.

On the sales side, the team is also supported by CMO Ricky Fernando, with more than 10 years of experience in marketing and operations at Mortindo, one of the leading mortar manufacturers in Indonesia (part of the Triputra group). And CPO Meichael Surja, who previously was an architect and contractor for housing projects for more than 15 years.

“Our first and foremost mission is to digitize the Indonesian construction industry. We are fortunate to see strong growth momentum across all key metrics, which would not have been possible without the support of our loyal contractors and project owner partners," said Tito.

He continued, "This new funding will allow us to increase our impact by continuously improving our platform and launching more innovative technology solutions, such as workflow management tools and services to drive greater efficiency and transparency to support the productivity of our stakeholders. "

The company acknowledges that it will continue to expand and develop various features and products to drive greater efficiency and transparency to support the productivity of our stakeholders. Step closer to the world of efficient construction, one service at a time.

Digitization procurement in the building materials sector

As one of the business lines with limited players, this procurement service in the construction sector looks quite attractive to investors. Before the announcement of the funding from Juragan Materials aired, there were already several businesses that provided similar solutions. One of which is BRIK, platform developer startup B2B commerce (B2B Raw Materials Aggregator) for building materials which recently received initial funding from a number of investors.

More Coverage:

In addition, at the end of 2021, Startup marketplace Construction-specific B2B "GoCement" has successfully secured early-stage funding from Arise (fund collaboration between MDI Ventures and Finch Capital), MDI Ventures, Beenext, and Ideosource.

Based on data from the Indonesian Central Statistics Agency (BPS), the construction sector in Indonesia itself is a significant contributor to the country's GDP. The market value of building and construction materials alone has reached $72 billion with more than 200.000 construction companies.

"Despite its importance to the Indonesian economy, the sector's supply chain is highly fragmented with many layers, resulting in unpredictable demand and supply, lack of price transparency, inconsistent material quality and overall lack of coordination. Less than 1% of supply chain transactions captured digitally, so contractors and project owners have to use highly inefficient and complicated procurement methods,” said Arum Putri, Vice President of Go-Ventures

Are you sure to continue this transaction?
Yes
No
processing your transactions....
Transaction Failed
try Again

Sign up for our
newsletter

Subscribe Newsletter
Are you sure to continue this transaction?
Yes
No
processing your transactions....
Transaction Failed
try Again