South African B2B delivery-as-a-service (DaaS) startup Orderin has raised ZAR71 million (US$4.7 million) pre-Series B funding to help it scale its infrastructure and enhance its last-mile delivery service.
Ordin was founded in 2013 and is South Africa’s most popular on-demand delivery service. It delivers food to Pick n Pay and McDonalds.
After previous rounds in 2018 and 2021, the total amount raised by this round of funding is R303 million or US$19.85 millions. Orderin will use the cash for scaling its proprietary DaaS technology to its existing client base in the near term, launching DaaS for SMMEs mid-term, and establishing a flywheel to help it achieve its long-term goal to provide a platform that allows all types of businesses to access a range of affordable e-logistics service.
“E-commerce has grown steadily over the past few years, but the COVID-19 pandemic accelerated this growth. According to Thembani Biyam, Orderin CEO, customers have put pressure on businesses to offer quick and often free delivery options.
“Infrastructure development and growth will improve last-mile delivery, and make it easier for businesses. This is especially true for SMMEs, who may find it difficult to compete on this point with larger companies. However, it can also help usher in a new era of e-commerce.
Biyam stated that emerging technologies play a significant role in enabling businesses meet high consumer demand when last-mile delivery is concerned. Vulnavia Gura, the startup’s head for finance, said that Orderin will be focusing on tech like AI and data science to expand its capabilities.
These technologies are crucial in enabling dynamic predictive modeling which allows our customers to avoid these challenges at the speed required for successful delivery. It is however costly. Gura stated that the funding raised allows Gura to expand her tech and talent offering, as well as grow customer and revenue.
“We are working quickly to improve our governance and operational models. Our investors expect it, and so do our stakeholders. As a young company that is entrusted to investors’ funds, we believe it is important to establish a reputation of prudence. This will inspire confidence in future funders.