Proglix Presents Integrated Solutions for Provision of Raw Materials for Infrastructure and Manufacturing Consumers

Currently, the infrastructure and industrial sectors often face problems. Procuring raw materials through traditional means, such as traders or wholesalers, is unreliable with delayed delivery times and fluctuating prices. Seeing this problem, Proglix, a startup that provides a technological platform for procurement of raw materials and credit financing for small and medium enterprises (SMEs), is here.

Proglix was founded by Wynn Nathaniel (CEO), Wendy Noel Wijaya (COO), and Prawira Indra (CTO). To DailySocial, Wynn Nathaniel revealed, currently in Indonesia the supply landscape raw material for the industry is very large potential. But purchases to various parties still rely on trader or traders whose function is similar to middlemen. This makes it difficult for manufacturing companies to buy products from different principals.

"Unlike other similar platforms, Proglix from the start has focused on industrial-based raw materials. For example, we have focused on Manufacturing and infrastructure. Our function is not to connect contractors with distributors, but rather how small to medium scale manufacturers can get raw materials directly from principals through Proglix."

Proglix seeks to integrate stock and price updates from multiple manufacturers to taking customer orders, tracking shipments, and facilitating payments. Proglix simplifies the procurement process for SMEs and enables them to source high-quality raw materials such as metals, steel, polymers and electrical equipment at competitive prices and lead time the shorter one.

Currently, platforms that offer services and technology intersect between them Tokban (Building Shop) and Material Master.

Build relationships with principals and customers

Despite having doubts, Proglix claims to have had around 20 principals join its platform for cable products, raw material, to finished goods.

Currently, Proglix is ​​said to have been used by 101 customers on the islands of Sulawesi, Kalimantan, Java. 15-20% of their customers are enterprises manufacture and the rest is specialized store or specialty stores.

"It was quite difficult for us to convince the principals to join Proglix at the beginning. Even though we had offered cash payments, there were still doubts from them, most of whom were business owners who still ran conventional businesses and already knew each of the related parties. However "With the solutions we offer, they are starting to get used to it," said Wendy Noel Wijaya.

For the monetization strategy, Proglix earns a margin for the goods sold. Model demand aggregator which they implement for customers is considered to help get the desired goods with various options and more competitive prices.

To make it easier for customers to make purchases, Proglix also provides a payment option within 30 days. Apart from cash payments, this temporary payment option is quite popular with customers. Currently, Proglix is ​​still conducting trials with the Modal Rakyat P2P platform to later be able to provide financing options to customers. However, in the future the most ideal path for Proglix is ​​to utilize conventional banking services.

"To make it easier for customers to do repeat orders, Proglix has also provided e-procurement technology to them. In the future the company will also develop technology forecasting, which customers can use to predict what orders can be purchased directly from the principal," said Wynn.

Plans to raise Series A funds

As of January 2023, Proglix has also recorded significant revenue growth of 66 times since it was first launched in April 2022. Currently, Proglix has pocketed fresh initial funding worth $1,35 million (around 20 billion Rupiah). Investors involved in this funding round include 500 Global, Number Capital, Magic Fund, Arkana Ventures, and MDI Arise, as well as angel investors Hendra Kwik (Co-Founder of Fazz) and a number of other well-known startup Co-Founders.

The company utilized these fresh funds for product penetration to increase the adoption rate of its AI-powered B2B trading platform. Proglix also utilized the fresh funds for working capital.

"In the initial phase it was quite difficult for them to get a payment agreement from the principal. On the other hand, not many customers then made payments in cash," said Wynn.

Currently, Proglix is ​​the only startup from Indonesia selected in the competition Y Combinator acceleration program Winter 2023. The company already has around 20 team members and this year targets to increase the number of customers and principal partners.

"We also have plans to carry out further stages of fundraising, namely Series A. However, we will carry out this activity based on needs and of course revenue that the company has obtained. We try to carry out all these processes conventionally, depending on how much funds we need and how much funds we will raise to avoid this happening. overvaluation," Wynn said.