TransTRACK.ID Bags Seed Funding, to Enhance Logistics Fleet Management Products

Officially launched in April 2019, the fleet management service provider TransTRACK.ID managed to close the seed funding round. Investors participating are including Cocoon Capital, Accelerating Asia, and PT Venture Capital YCAB.

Overall, they managed to raise an investment of SGD755 thousand (equivalent to $570 thousand or 8 billion Rupiah). Previously, TransTRACK.ID was one of DSLaunchPad 2.0. selected participants. This startup was founded by Anggia Meisesari and Aris Pujud.

"The fresh funds will be used to support product development and sales growth. Currently, TransTRACK.ID is also looking for strategic partnerships and networks for the next funding round," The CEO, Anggia said.

During the pandemic, the company made a revenue growth of more than 150% compared to the previous season. The need for transportation and logistics during the pandemic creates full potential to supply products and services. These conditions are crucial for monitoring the proper use and functioning of the fleet, drivers, and safety.

"TransTRACK.ID is here to help our customers who operate in the logistics sector and its support, therefore, they don't have to face various problems such as late deliveries, theft, bad drivers, inefficient costs, and the difficulty of integrating into other systems," Anggia added.

To date, there are almost 3000 users of the TransTRACK.ID system. The company can serve customers throughout Indonesia, with temporary service points located throughout Java, North Sumatra and South Sumatra. TransTRACK.ID focuses on B2B and B2B2C business models.

In terms of logistics fleet tracking services, there are several startups trying to provide similar solutions in Indonesia. These include Track.io, Waresix, Logisly, Webtrace, and others.

Product excellence

The majority of their revenue stream comes from subscription fees for the Fleet Management System usage and other complementary and supporting applications such as Transportation Management System, Employee Tracking, Vehicle Maintenance and Driver Management. In addition, the company also earns revenue from software sales (GPS equipment and sensors) as well as development projects.

TransTRACK.ID also provides accident compensation (without additional costs) for customers whose vehicles are equipped, amounting to a maximum of IDR 50 million per person in the event of death, permanent disability, and medical expenses of a maximum of IDR 5 million per person . This compensation applies to 1 driver and 1 passenger, regardless of identity, who was in the vehicle at the time of the accident.

"Our platform is very flexible and capable for integration with more than 1000 types of GPS devices on the market, easy to adapt to customer needs, easy to integrate with other systems, multiple alerts and notifications either via SMS, push notifications on mobile apps, browsers, and windows, also via email in real time, multiple reports, and multiple users with access rights," Anggia said.

Fleet telematics platform potential

Currently, the number of land vehicles in Indonesia has reached more than 150 million units, and the logistics market in Indonesia is very large. It is predicted to reach $300.3 billion by 2024. The need for fleet telematics is increasing.

It is based on the need to track and monitor vehicle usage, drivers, and safety. Government regulations, in this case the Ministry of Transportation, have been issued règlements via PP no. KP.2081/AJ.801/DRJD/2019 which requires the use of GPS for all public transportation operators to monitor operations and improve efficiency.

However, according to a survey conducted by the Indonesian Telematics Equipment Industry Association, the use of GPS tracking on public transport in Indonesia is still less than 10%, or less than 2% of the total number of vehicles in Indonesia. This shows that there is still huge potential for the growth of fleet telematics technology services in Indonesia, such as the services offered by the TransTRACK.ID platform.

-Original article is in Indonesian, translated by Kristin Siagian