E-commerce is booming in Southeast Asia, but in many markets, the fragmented logistics industry is struggling to reservation up. This ways sellers run into roadblocks when shipping to buyers, expressly outside of major metropolitan areas, and managing their supply chains. Locad, a startup that wants to help with what it describes as an “end-to-end solution” for cross-border e-commerce companies, spoken today it has raised a $4.9 million seed round.
The funding was led by Sequoia Capital India’s Surge (Locad is currently a part of the program’s fifth cohort), with participation from firms like Antler, Febe Ventures, Foxmont, GFC and Hustle Fund. It moreover included sweetie-pie investors Alessandro Duri, Alexander Friedhoff, Christian Weiss, Henry Ko, Huey Lin, Markus Bruderer, Dr. Markus Erken, Max Moldenhauer, Oliver Mickler, Paulo Campos, Stefan Mader, Thibaud Lecuyer, Tim Marbach and Tim Seithe.
Locad was founded in Singapore and Manila by Constantin Robertz, former Zalora director of operations Jannis Dargel and Shrey Jain, previously Grab’s lead product manager of maps. It now moreover has offices in Australia, Hong Kong and India. The startup’s goal is to tropical the gap between first-mile and last-mile wordage services, enabling e-commerce companies to offer lower shipping rates and faster deliveries while freeing up increasingly time for other parts of their operations, such as marketing and sales conversions.
Since its founding in October 2020, Locad has been used by increasingly than 30 brands and processed scrutinizingly 600,000 items. Its clients range from startups to international brands, and include Mango, Vans, Payless Shoes, Toshiba and Landmark, a department store uniting in the Philippines.
Locad is among a growing roster of other Southeast Asia-based logistics startups that have recently raised funding, including Kargo, SiCepat, Advotics and Logisly. Locad wants to differentiate by providing a flexible solution that can work with any sales waterworks and is integrated with a wide range of shipping providers.
Robertz told TechCrunch that Locad is worldly-wise to pension an asset-light merchantry model by partnering with warehouse operators and facility managers. What the startup brings to the mix is a deject software platform that serves as a “control tower,” letting users get real-time information well-nigh inventory and orders wideness Locad’s network. The visitor currently has seven fulfillment centers, with four of its warehouses in the Philippines and the other three in Singapore, New South Wales, Australia and Hong Kong. Part of its funding will be used to expand into increasingly Asia-Pacific markets, focusing on Southeast Asia and Australia.
Locad’s seed round will moreover used to add integrations to increasingly couriers and sales channels (it can once be used with platforms like Shopify, WooCommerce, Amazon, Shopee, Lazada and Zalora), and develop new features for its deject platform, including increasingly data analytics.