Indonesian logistics company Shipper raises US$5M seed funding

Tue Sep 24, 2019 - 8:59am UTC
Shipper 2

Shipper 1

24/06/2019 – The company raised US$5M seed funding from Lightspeed Ventures, Floodgate Ventures, Insignia Ventures Partners, Convergence Ventures and Y Combinator according to multiple media sites.

Founded in 2016 by co-founders Phil Opamuratawongse and Budi Handoko, Shipper aims to tackle the fragmented logistics industry of Indonesia. The island nation has a rapidly growing e-commerce market which is scattered across multiple platforms such as Tokopedia, Lazada and Shoppee, and also personal sellers active through social media sites Facebook, Instagram, WhatsApp and more.

Much like the e-commerce scene, the logistics industry is also scattered with many small local operators and that’s where Shipper comes in.

Now boasting more than 25,000 clients of online merchants, Shipper provides a platform that helps to better facilitate orders, providing services such as package pickups and package tracking. They have their fleet of workers who would pick up packages from the clients from the same neighborhood, and proceed to drop them off at the courier service of choice, thus acting as a micro fulfillment center.

To go one step further, Shipper also provides an API that can be integrated to third party websites and applications that provides services such as printing shipping labels and act as a hub that provides tracking information from multiple couriers. On top of that, the API is also able to predict the best shipping routes and consolidate packages heading the same direction.

According to the company, their logistic partners include JNE, POS Indonesia, Ninja Xpress, Lion Parcel, J&T Express, FedEx, DHL, and more.

The company currently runs 10 fulfillment centers across Indonesia in major cities including Jakarta. In the pipeline, the company will be opening a new fulfillment center every two weeks, aiming to cover all of Indonesia.

Following the injection of fresh funds, Shipper will be expanding its network and make moves on recruiting more new hires. The company is also eyeing an expansion into neighboring countries of Thailand, Vietnam, and the Philippines.

This news is published on Reuters.

Lo Jia Thong is a writer that writes about the latest announcements on venture capitals and startups from Southeast Asian countries.