Kudo Gets Seed Funding from East Ventures

Payment platforms Kudo announced the acquisition of seed funding from East Ventures. Unlike most payment platforms that focus on the e-commerce market, Kudo offers a touch screen digital kiosk solution as an e-commerce platform point-of-sale electronically to make it easier for users who do not have credit cards to make online transactions. Kudo will be officially launched on 12 December.

Founded by Albert Lucius and Agung Nugroho, Kudo positions itself as an intermediary for the lower middle class, who do not have credit cards or other electronic payment methods, to transact online. Purchases of telephone credit vouchers, public transportation tickets, game vouchers, or discount vouchers can be done through digital kiosks. Later payments will be made in cash.

East Ventures Partners Willson Cuaca commented in his press release, "This strategic investment will perfectly complement our portfolio in Indonesia. Funding will be used to finalize product development and to support its launch in the near future. Without a doubt, Kudo will help accelerate the growth of online transactions in Indonesia by providing a platform to bridge the gap between the digital e-commerce space and the offline retail space.

Co-Founder and COO Kudo Agung Nugroho added, "We intend to bridge the gap between the fully functioning e-commerce ecosystem in Indonesia. Through our kiosk, middle class consumers who are not technology literate (non-tech savvy) can continue to enjoy the convenience that e-commerce (scheme) provides."

The middle class market is indeed the most attractive market for startups. Despite having increasing purchasing power, not all middle class people have knowledge of technology or have credit cards as a means of payment. The Boston Consulting Group estimates that by 2020, the middle class population in Indonesia will reach around 70 million, while currently, according to Ernst & Young's report, less than 6% of Indonesia's population has a credit card. This market is targeted by Kudo.

About the location of this digital kiosk later, Co-Founder and CEO of Kudo Albert Lucius told DailySocial, "Kudo will be available in a mall in West Jakarta and at universities and offices in the vicinity. This will be followed by launches in South and Central Jakarta. ."

Albert further explained, "In the next few months, we plan to expand our network extensively to cover the Greater Jakarta area. Next we plan to expand nationally to better serve this growing middle class community. At some point, we plan to to transition to a mobile app, but that's still a long-term plan."