Funding

Ahmedabad based startup Transport on Demand closes Round one funding

August 17, 2016March 27, 2018 Geekopedia 0 Comment App, Bidding, Empezar, Funding, Indian Startup, Logistic, Round One, ToD, Tranportation, Transport on Demand, Vasant Group

ToD Transport on Demand , a unique app-based online logistics platform for intra-city transport, will unveil an aggressive marketing campaign in August having closed a successful fund-raising of $150,000 ($0.15 million) from investor Dhruv Taneja. He is a director at Empezar Logistics, specializing in container transportation and yard management and has over 9 years of experience in the field of logistics.

ToD was founded in January 2015 by Ahmedabad-based Yash Vasant of Vasant Group. While 50% of the amount raised will be dedicated to marketing, the company will set aside 30% for beefing up its technology and 20 % for HR. It has already initiated a talent hunt with 10 new recruits on board for field execution of driver enrollments, foreseeing a bullish business growth.

ToD is based on a unique proposition of connecting potential customers directly with truckers. It’s bidding model play as the key differentiator. While every other competitor give a fixed rate, usually higher than the market rate, ToD works purely on the demand and supply model. This works in favor of the customer since he gets the best possible rate and also benefits the driver because he gets as many trips. The aggregator app acts as a platform gathering registered single owner truck drivers for one to pick and choose from through innovative bidding.

“Our application allows reverse bidding by the drivers themselves who can double their income significantly. This indeed, is a boon for those who tend to lose out on a two-way trip and business. The indigenous innovation got our investor interested to begin with. We want to make sure we are sound operationally and the number of drivers who can bid are technology savvy and customer oriented,” said Mr. Vasant.

ToD is already eyeing its Round two fund of about $2 million to come through. Its services are offered within a 200 kilometer radius of Ahmedabad currently but an expansion through the franchisee model is up on the cards in the next six months. This is expected to boost the customer base from 300 now.

Although the major volume of business comes from B2B segment, the B2C and the C2C market segments is where ToD is most useful where the aim is to provide hassle-free transportation facilities to people who are buying, selling or trading. The app can also be utilized by anyone wishing to shift household goods from one city to the other.