In recent years, delivery services have become a key component in the business of retailers or individuals who sell or distribute products and services. Now that a global health pandemic is in full swing, keeping people inside (and away from physical store fronts), delivery has become an essential must if you want your business to stay alive. Today, a startup called Bringg, which helps companies build and operate suppliers, announces a $ 30 million growth round to meet growing demand for its services.
Bringg from Tel Aviv already has giants like Walmart, McDonalds and Coke among its customers and have recently launched a last mile delivery platform called BringgNow, which is aimed at small and medium-sized companies to create their own fleets and fleets to mobilize and manage from third parties.
Funding, Series D, is under the leadership of Viola Growth, Next47, Salesforce, OG Tech Ventures and GLP (all previous investors) are also participating.
The total is approximately $ 83 million, and Bringg does not disclose its contextual rating. PitchBook put its most recent valuation (Series C at $ 25 million in January 201
"The company grows very quickly and closes a round in 'Corona times'. a lot, ”he said.
In fact, Bringg's financing comes at a crucial time for the supply and logistics sector as a whole.
Delivery services and companies based on offering them have been fueled by expansion for several years in recent years due to the rise of the on-demand economy. But in recent weeks – where consumers have stayed at home to slow the spread of the coronavirus pandemic and not go outside; and companies have severely restricted their activities to limit the number of people who gather in closed rooms. You have turned all growth models upside down.
Those who have already been delivered as part of their services (for example, takeaway or groceries) are seeing unprecedented events. Demand and companies that have never had this option find that offering delivery services to customers is the only one Way is to stay in business.
"We built the company on a vision of the market that we believed would do so in a few years, roughly between 2022 and 2025," said Bloch. "Now it is happening right before our eyes. We are being put in a vacuum."
In addition to companies that see a great demand for delivery options – in some cases, this is the only way to deliver their products and services – have Bloch and Bringg's founder Lior Sion (who previously worked on the construction). The technology underlying Uber competitor Gett both found that consumer preferences had changed significantly.
Trust was an important factor in growth of delivery services, which is now moving significantly and may never return again. It was before, which will mean that Bringg's current business surge – a 24% growth in the past week – even after (hopefully) COVID-19 has subsided
"The delivery will never be 100%, but that's about offering a better experience," said Sion Food, restaurants, and other services are offered, people are faced with using them if they have never done it before. "Or they used to use a service, but now they realize what happens when it does disappears and they now use more than one. You will say to yourself, I have to diversify. “
Bringg's platform offers businesses – it works with obvious customers such as retailers, restaurants and grocery stores, but also large retailers, field service providers and healthcare companies – an end-to-end offering to manage their delivery operations. This includes tools (AI-based or otherwise) that not only enable you to optimize and understand where and how much inventory is available, but also to route it in the most efficient manner to synchronize and ensure it with online ordering platforms, that stocks, services and employees are available who needs them. Last mile services work with both retailers' existing vehicle and passenger fleets, but also offer third-party services to complement them as needed.
While much of what Bringg does has focused on for-profit companies, the startup has made its own contribution to add to the broader volunteer efforts we've seen across the tech industry. In this case, she volunteers with local government organizations to mobilize people to deliver goods to the needy, and has essentially opened her door to all other nonprofits that need help. (Contact them if this applies to you.)
The big picture is that Bringg brings something for everyone (sorry) at a time when we really need it, but will continue to rely on this model in the years to come is left without a crisis hanging over us.
"We live in a" delivery economy ", and the recent market upheavals through COVID-19 will only accelerate this new reality in which brands cannot afford business without this kind of solution," said Eran Westman, partner at Viola Growth, in a statement. " With Bringg brands can take full control of their data, increase customer satisfaction and ultimately increase their revenue. We believe that this market has great potential for expansion and that Bringg with his extraordinary vision and execution is ready to take the lead, which is why we decided to lead this round. “
“ Today with COVID- The delivery is not a distinguishing feature for the business, but a critical logistics model that keeps the company alive. Our recent investment shows our confidence in the value Bringg brings to the market, and offers companies of all sizes the ability to connect logistics data across different silos and optimize their operating models for fast and convenient delivery service. ” Matthew Cowan, general partner at Next47, said in a separate statement.