LocoNav’s harnesses IoT era to provide fleet proprietors and drivers a unmarried platform for telematics, motive force control, fleet compliance and more
The Gurugram-situated startup has raised $37 Mn in sparkling funding from Quiet Capital, Anthemis, Sequoia, Foundamental and others
LocoNav’s founders claim that fleet management enterprise is presently fragmented with consumer-relevant services being provided in silos, which LocoNav is looking to disrupt
Fifteen months after the pandemic threatened to wipe out enterprise cost and boom everywhere, things are reputedly coming returned heading in the right direction. One of the major signs of that is the Google ‘Community Mobility Report’, which pursuits to offer insights into how motion of humans, fleets of automobiles and other shipping has modified.
After a large drop in April and May, visits to almost every place of interest have grown, such as visits to offices and extra — indicating simply how quick things have revived from June, after the second wave in India. Even though the general motion is properly under the baseline, things are swiftly converting and movement of people and motors will another time pick up tempo, the records indicates. Capitalising in this revival at an early level might be essential and fleet management tech startup LocoNav is looking to do just that with its $37 Mn Series B round, introduced nowadays (June 29).
With fresh funding from Quiet Capital, Anthemis Group, Sequoia Capital India, Foundamental, RIT Capital Partners, Uncorrelated Ventures, Village Global and different leading buyers, LocoNav is aiming to emerge as India’s answer to cloud-connected IoT platform Samsara, and put India’s name on the map when it comes to fleet management and IoT tech.
With a valuation of over $5.4 Bn, Samsara has become some thing of a rockstar in this area, being led with the aid of cofounder and CEO Sanjit Biswas, who had formerly based Meraki, which become obtained with the aid of Cisco way back in 2012 for $1.2 Bn.
The San Francisco-based totally unicorn said an $three hundred Mn in run-price subscription revenue in only 5 years, with greater than eighty% annual boom in 2020-21. The employer works with a number of the largest gamers inside the market together with Uber, Ford, Volvo in addition to some of neighborhood governments. And that’s the target market that LocoNav goes after, according to cofounder Vidit Jain. “Anyone who runs a vehicle or fleet for a commercial motive is our target patron. This might be any form of fleet — from trucks to cabs or even tractors and infrastructure automobile system,” he introduced.
LocoNav’s Fleet Management Tech Stack
Founded in 2016 through Vidit Jain and Sridhar Gupta, the startup has previously raised $10 Mn in earlier rounds from Sequoia and Foundamental. The total quantity raised via LocoNav now stands at around $47 Mn. LocoNav’s center idea is that fleet proprietors and drivers require a single platform to get right of entry to vehicle overall performance metrics, get visibility on diverse factors and demanding situations in going for walks a fleet, and automate a part of the operation via deeptech. It claims to be utilized by over half a million industrial vehicle and fleet proprietors.
Jain claimed that the fleet control enterprise is presently fragmented with patron-applicable offerings being provided in silos. LocoNav’s SaaS platform consists of answers like LocoDrive, which helps manipulate drivers; LocoADAS, a video telematics and motive force protection solution which harnesses on-board diagnostics, in addition to LocoPay, that is a toll and pay as you go cards payments answer constructed around requirements including FASTag. Finally, the company also gives LocoRTO, which enables fleet managers and operators automate compliance management.
The LocoNav founders agree with that the profits effect because of the pandemic has made it worse for small fleet proprietors who did not have get admission to to technology. Some of this generation has additionally come to be prohibitively luxurious for the commercial enterprise owners, specifically due to logistical demanding situations. “Each industrial automobile is a commercial enterprise in itself with its very own P&L. Every mile it travels brings revenue, but with an related price,” said Jain.
LocoNav stated the funds raised could be utilised to improve the records technology in the back of the recommendations and insights supplied to the fleet operator. It has plans to increase its crew length across its places of work in Gurugram, San Francisco and Bengaluru. “The next two years will be centered on building solutions that lessen fleet strolling costs through up to 50% and pressure a wonderful effect on weather sustainability,” delivered cofounder Gupta.
The modern day spherical for LocoNav additionally noticed participation from the likes of former Facebook director and distinguished angel investor Anand Chandrasekaran, Anjali Joshi (former product VP at Google), Manik Gupta (ex CPO at Uber), amongst others. “LocoNav has constructed an cease-to-end product that will become deeply embedded in how fleet proprietors and operators run their enterprise. As a result, LocoNav has been capable of scale hastily via phrase of mouth, permitting the enterprise to become a hyper growth market leader even as additionally being very capital efficient,” stated David Greenbaum, accomplice at Quiet Capital.
Taking Indian Success Abroad
The founders added that currently LocoNav’s consumer base is unfold throughout 25 international locations, and now the plan is to take the fulfillment of the Indian market to different growing economies and rising markets, and set up a nearby presence there. The startup hopes to build additional partnerships and channels and is likewise eyeing a few strategic acquisitions.
Globally, some of fleet management structures are vying for a chunk of the marketplace, except Samsara. This consists of the likes of Verizon-owned Fleetmatics and Swiss startup Avrios. In India, the employer competes with the likes of FleetX, which caters to 1,000 clients and claimed ultimate yr to be growing at 20% month-on-month (MOM). The business enterprise’s patron base consists of both mid to large fleet owners and organisation shippers. It raised $3 Mn in a Pre-Series B spherical closing 12 months from Singapore-based totally BEENEXT and India Quotient.
Similarly, fleet management and logistics tech platform GoBOLT raised $20 Mn in its Series B investment round led by Paragon Partners and present investor Aavishkaar Capital this week.
Last year, the lockdowns had an adverse impact on the agency’s business. Gupta said that the daily common motion of vans and distance covered dropped to 20% at some stage in the lockdown. “Initially, regulations on inter-nation movement did effect the industry, but in the end as law changed we have seen robust recovery across the board – both in small and huge fleets,” he claimed.
The IoT fleet control area is developing in recognition due to the changing nature of business operations with a heavy reliance on automation, and the reality that information from fleet operations may be used for other sectors including ecommerce, retail, logistics and extra. The global IoT fleet control market length is envisioned to have surpassed $sixteen Bn in 2020 and is expected to grow at a CAGR of over 15% from 2021 to 2027 to reach $45 Bn in market length.
The beneficial area additionally has the presence of company-sponsored fleet control platforms just like the Tata Group’s Fleet Edge, furnished for the complete medium and heavy commercial motors variety (M&HCV) and the BS-VI variety of Tata Motors trucks and buses. Two-wheeler producer TVS Motors acquired IoT answer provider Intellicar Telematics for INR 15 Cr in December closing year to accelerate its digital tasks and beautify the client revel in. Mahindra launched the iMAXX telematics platform remaining yr, that is fitted into the agency’s trendy industrial car variety.
All those solutions have come up within the light of the changing marketplace, where visibility of cellular assets and efficient operations is a key success thing for fleet operators, who have been stretched due to the pandemic.