1. Startups

TransTRACK to Complete Further Funding Soon

TransTRACK is already present in Malaysia and Singapore, and has plans to expand in Myanmar, Vietnam and Thailand

According to a report by Statista, the market size of the logistics industry in Indonesia is projected to reach a value of $240 billion by 2027, up from $111 billion in 2019. This growth presents significant opportunities for companies that can provide innovative solutions to help businesses operate more efficiently and cost-effectively.

One platform that tries to provide integrated logistics solutions is transTRACK. They provide real-time tracking and management solutions that help businesses optimize logistics operations and reduce costs.

To DailySocial.id, TransTRACK Founder & CEO Anggia Meisesari revealed the company's expansion plans and new fundraising plans.

Partnership with government

Currently TransTRACK has offered logistics solutions end-to-end vision. Not just a Fleet Management System, but also a Transportation Management System and a Truck Appointment System. It is noted that the company has accommodated more than 600 customers with more than 50 thousand fleet units and drivers.

Especially with the issuance of a government policy regarding route permits for public transportation that must be equipped with GPS and connected directly to the Ministry of Transportation's server, TransTRACK can provide this solution. According to Anggia, not all vendors can provide this solution, and TransTRACK was selected along with several other vendors.

"So we are helping public transportation to get route permits and finally connected with the Ministry of Transportation. Then we can also be connected with the Ministry of Environment and Forestry, because those transporting B3 waste must be able to integrate with the KLHK system," said Anggia.

Another advantage currently owned by TransTRACK includes Fuel Monitoring technology. In contrast to other vendors who use a lot of GPS Fuel Censor tools in the field, most of these tools only have a maximum accuracy level of 75%. Meanwhile, with the TransTRACK technology, which is currently in the process of being patented, they use a Fuel Stabilizer which can increase the accuracy of fuel measurements by up to 98%.

Focus on the B2B segment

Currently, most businesses that use TransTRACK.id technology are in the B2B segment. However, actually not only large companies can use their services, individual categories can also use TransTRACK's technology.

Most of TransTRACK's customers come from peshipping company behavior, There are also fleet owner and fleet operators, third party logistics company (3PL), logistics service providers or logistics service aggregator, including one of the big logistics startup to be customer from TransTRACK.

One of the advantages claimed to be able to increase the company's growth is the recommendation from customer to customer other new through the system referral. Taking advantage of this opportunity, now TransTRACK is also starting to partner a lot with their customers, who have networks with relevant backgrounds to increase sales.

"Some of our sales partners are actually customers too. They have happy use TransTRACK in their city and have network which is strong enough. Eventually they become our partners by helping with sales, we can share revenue from there. This has allowed us to grow quite fast in 28 cities. The company's target this year is to be present in 100 cities in 37 provinces, by opening a program for partnerships," said Anggia.

Currently the monetization strategy launched by the company is through subscription fees or subscription fees. This option is claimed by the company to have reached 92% of the total. The subscription fee comes from the Fleet Management System, Transportation Management System, Truck Appointment System and also the Warehouse Management System.

However, there are other business models in the form of transaction fees which is run through the Supply Chain Integrator service that was launched last January. Commissions are also obtained from insurance companies for cargo. Likewise with platforms fintech which offers Invoice Factoring and Working Capital for customers.

"Right now our focus is on roadtransport. Whatever the business, as long as there is a fleet running on land, you can become a TransTRACK customer. Because the biggest one is in logistics, the second one is public transportation, but the rest are from F&B companies, manufacturing and service industries. In fact we currently have customer big ie provider Telco. Then there are also leasing companies, banking, rental, mining, plantations, animal husbandry, BUMN, and of course the government," said Anggia.

Complete follow-up funding

TransTRACK has successfully closed early stage funding round (Seed). The investors involved are Cocoon Capital, Accelerating Asia, and YCAB Ventures. Overall they managed to raise investment of SGD755 thousand (equivalent to $570 thousand or 8 billion Rupiah). Previously, TransTRACK was also one of the selected participants DSLaunchPad 2.0.

This year the company also plans to complete the next stage of funding, namely Pre-Series A. However, Anggia was reluctant to say further when the finalization of the fundraising would be announced.

TransTRACk already has about 130 teams. This number is claimed to have increased quite a lot since 2019, which only consisted of 12 people. Currently, the company has also achieved profitability in 2022. Even though the numbers are not too many, at least they have validated the business model they are running.

"The company's next focus is to expand in Indonesia and also other countries in Southeast Asia. Currently the company has established strategic partnerships in Malaysia and Singapore. Furthermore, TransTRACK also wants to expand its services in Myanmar, Vietnam and Thailand," said Anggia.

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