Last-mile logistics firm Bringg raises $30 million in latest venture round
Startup says it can help businesses keep pace with coronavirus home delivery surge, including 77% growth in deliveries in first week of April.
Delivery logistics platform Bringg has raised $30 million of funding in a move to scale up its operations and enable faster growth at a time when the Covid-19 crisis is driving a large spike in demand for home delivery.
The “series D” round was led by Viola Growth with participation from existing investors Next47, Salesforce, OG Tech Ventures, and GLP. It follows earlier rounds including a $25 million round in 2019 and a $12 million round in 2018, and brings the firm’s overall funding total to $83.3 million.
Tel Aviv, Israel-based Bringg, which describes its product as a “delivery orchestration platform,” said the new backing comes at a time when logistics operations and drivers are struggling to meet a steep jump in demand for package delivery, triggered by panicked consumer shopping patterns and work-from-home policies during efforts to fight the coronavirus pandemic.
Over the first seven days of April, Bringg said it recorded a 77% growth rate in deliveries, including a 113% jump for restaurant orders. And over the past 30 days, the firm has seen increases of 80% for groceries, 54% for restaurants, and 8% for retail.
“Covid-19 has brought the economy to a standstill, and has many investors rethinking their portfolios, so naturally, I was feeling a bit unsure of how this would play out,” Bringg CEO Guy Bloch said in a blog post. “But while Corona has had some negative effects on the market, it has accelerated the delivery economy in numbers that were not expected for a few more years to come. Specifically, over these past few weeks, we have seen a growth in our customers’ deliveries that far exceeded our expectations.”
Bringg said its platform can help companies keep up with that demand by allowing them to orchestrate, manage, measure, and track their entire delivery ecosystem, whether they are using in-house fleets, third party providers, or both.
“Today with Covid-19 keeping consumers homebound, delivery is not a business differentiator but a critical logistics model, keeping businesses afloat,” Matthew Cowan, general partner at Next47, said in a release. “Our latest investment demonstrates our belief in the value Bringg delivers to the market, providing businesses of all sizes the capabilities to connect logistics data across different silos and optimize their operational models for rapid, convenient delivery service.”
WE DECIDED TO LEAD A $30 MILLION INVESTMENT IN BRINGG… THEN COVID-19 HAPPENED
— Viola Group (@ViolaGroup) April 7, 2020
(Welcome @bringg to the family)https://t.co/RhP23Cy0Rw
