Israeli enterprise logistics startup Bringg Delivery Technologies Ltd. on Tuesday said it has raised a $10 million funding round.
Founded in 2013, Bringg offers a Software-as-a-Service enterprise supply-chain and delivery technology platform that allows companies to manage on-demand and last-mile deliveries.
The company claims that its platform helps companies streamline their entire delivery ecosystem, from the headquarters to the customer. It’s used by retail, e-commerce, CPG, food and third- and fourth-party logistics providers customers in more than 50 countries, including some of the world’s leading brands.
Bringg also offers a set of application programming interfaces and software development kits to allow customers to integrate their logistics management solutions into existing systems.
The company compares its platform to Amazon.com Inc.’s famed logistics management. Co-founder and Chief Executive Officer Raanan Cohen said in a statement that just as “Amazon raised the standards when it comes to delivery, we provide the tools that enable any company to match their logistics excellence.”
According to research firm Reportlinker, the connected logistics market is expected to grow from $10 billion in 2016 to $41.3 billion by 2021, a compound annual growth rate of 32.7 percent. But the market faces challenges going forward — in particular, a lack of uniform standards in organizational bodies that the research suggests restrains the growth of the logistics and transportation industries.
Although companies such as IBM Corp. are using the Linux Foundation’s Hyperledger blockchain platform to deliver digital logistics and management tracking to the shipping industry, Bringg is instead going down a more traditional route of building its own proprietary platform, an interesting move in the age of using open platforms. Its strategy relies on large scale. The company doesn’t list is current clients, but as TechCrunch points out, the investment by Coca-Cola isn’t coincidental as the world’s largest soft drink maker is also a Bringg client.
The Series B round was led by Aleph VC and also included Coca-Cola Co. and previous investor Pereg Ventures. Including the new round, Bringg has raised $19 million to date. Previous investors also included Cambridge Capital and Ituran.
The company said it would use the new funding to grow its marketing and sales presence in existing and new markets, as well as expanding its research and development and customer success and support teams.