iGAP – Logistic-tech start-up in Vietnam

A. Overal Vietnam market - FY2017

- Total Vietnam logistic cost: USD 39.6 billion – 18% GDP

- Transportation: USD 23.76 billion - 60% of total market value.
- 16% of total Logistics Vietnam Companies provided 3PL service, most of them were FDI, provide full-chain
logistics services and supply chain solutions for giant FMCG manufacturers (Unilever, P&G, Masan) and
distributors (BigC, Metro, Aeon, etc.)

B. Company overview:

- Launched in 04/2018, iGAP is a logistics - technologies serving Goods delivery and storing between Sellers
and Buyers
- Target customers:
 B2B: FMCG, Electronic, material; Traders/Distributors
 B2C: Online Retailers, Social Online Sellers, Supermarkets
 C2C: On demand services, Temporary warehouse space rental
- Number of employees: 10

C. Financial metric

- Revenue:
 $250,000 (FY2019)
 $100,000 (Q1-2020)
- Forecast:
 $3.2 million (2022)

D. Business model:

- iGAP take commission on every completed booking between Truck Owners and Sellers.
- Plan to acquire at least 3 sellers in phase 2 to increase revenue

E. Competitors

Locals:

Abivin DHL supply chain VN

Website abivin.com dhl.com
Founded year
Financial metric
Competitive advantages
Existing customers
2015
Total fund raised:
Over $1,350,000
Experience, well-known
Route & Inventory optimization
ASEAN local support
80 million truck partners
Procter & Gamble (P&G),
FrieslandCampina, A.O.Smith,
Habeco, Mesa group
1969 – German
1992 – Established in Vietnam
Revenue:
DHL's international network links more than
220 countries and territories worldwide.
Offers expertise in express, air and ocean
freight, overland transport, contract logistic
solutions (DHL express, e-commerce, global
forwarding, supply chain)

Global

Convoy Transfix BlackBuck Everoad

Website getconvey.com transfix.io
Founded yea 2015 - US 2013 - US
r
Financial Total fund raised: Total fund raised:
metric Over $668 million Over 78 million ($80M gross
($360M gross revenue – revenue – FY2018)
FY2018) Valuation: $800 million
Nov-19 raised $400
million
Valuation: $2.75 billion
Competitive Offers both hauling and 80,000 active drivers across
advantages shipping services. the USA.
Occasionally its rate will fall
below breakeven and uses
each new piece of data
about cost to improve the
pricing formula. Its matching
formula forecasts which
truckers are most likely to
want a shipment based on
their current location, stated
preferences and historical
driving patterns.
blackbuck.com
2015 - India 2016 - Europe
Total fund raised: The company has
Over $230 million raised $19 million in
Valuation: $950 million Series A funding
Largest trucking Focus on SME, network
platform in India of 5,000 carriers with
with 250,000 trucks over 300,000 trucks
partner trucks serving Signed a 4-year-contract
across 2,000 villages in worth $113 million with
India. French mass-retailer
Groupe Casino (Oct-
2019)
Carriers can also use the
platform to find business
opportunities and
payments within 3 days.

Manbang Group Huochebang Yunmanman

Founded year Nov-2017 - Formed by the
merger of Yunmanman and
Huochebang;
Financial metric Total fund raised: $1.9B
Valuation: $6.5B
2008 - China 2013 - China
Valuation: $1M after that Closed an extended Series D
funding. funding on October 31, 2017,
one month prior to the
merger.
Valuation: $13B after that
funding.
Competitive 5.2 million/7 million freight
advantages trucks and 1.25 million/1.5
million logistics enterprises
are members of Manbang.
Annual delivering fees
reaching USD 1.6 trillion,
almost double the American
market.
Planning IPO
Go to market strategy:
Invest/Acquire to expand
(TruckPad - Brazil's fastest-
growing platform that
connects truckers with
shippers)
largest trucking network in Delivers the solution to
China with 3.7 million efficiently manage vehicles
registered trucks and cargo with their free
Online-to-offline system to mobile app
deliver integrated provides comprehensive data
services (1,000 offline and payment services for both
service centers for the truck owners and shippers
trucks.)
Processes $120 million in
shipping fees on a daily
basis
Charges money through
the sale of additional
services such as sales of
toll cards, card top-ups,
and financing for trucks

Main IT technique in logistic-tech company

- Real time tracking: allows shippers to better plan loading and unloading schedules, and occasionally catch
fraud
- Trailer-sharing service: allows carriers to pick up prefilled trailers and drop them at facilities without
having to wait for goods to be unloaded
- Algorithms and big data analysis play a decisive role in calculating the optimal pricing for non-standard
services such as long-haul trucking (predict price movement in following days)

Source:

Logistic market:

https://biinform.com/Reports/2477-vietnam-logistics-market-2018-report-2710.html?
utm_source=MailChimp&utm_medium=1stemail&utm_campaign=Logistics&utm_term=Paid&utm_cont
ent=Full-report

https://www.businesswire.com/news/home/20190319005641/en/2019-Report-Vietnam-Freight-
Logistics-Market-Anticipated

https://www.researchandmarkets.com/research/z9r4w5/2019_report_on?w=4
Convey: https://www.wsj.com/articles/convoy-raises-400-million-to-expand-digital-freight-business-11573642800

Transfix: https://www.forbes.com/sites/amyfeldman/2019/01/03/18-wheelers-at-app-speed-a-800m-startup-is-
trying-to-pull-an-uber-on-the-trucking-business/#3724df8b5007

BlackBuck: https://economictimes.indiatimes.com/small-biz/startups/newsbuzz/logistics-tech-startup-blackbuck-
raises-150-million-in-series-d-round/articleshow/69130239.cms?from=mdr

Everoad: https://www.freightwaves.com/news/everoad-bags-a-e100-million-contract-with-groupe-casino-for-
supply-chain-digitalization