Plans to expand presence to 5 cities, including Bengaluru and Chennai, Pickkup is aiming to touch a revenue of Rs 10-12 crore in 2021-22
Expansion plans include expanding to 8 cities by the next two financial years with expectations to touch a revenue of Rs 50 crore
Pickkup plans to raise seed capital in the coming financial year to propel its expansion plan with a disciplined approach to scale & focus on unit economics & operational efficiency.
Started in 2018, Pickkup registered a 20-fold rise in delivery volume in the past 11 months.
Leading last-mile delivery in Hyderabad with 50%+ month-on-month growth
Sealed deals with retail giants Future Retail, Vijetha Super Market, Happi Mobiles.·Recorded a 10-fold rise in delivery fee in the last 10 months; clocking 2500 deliveries on Feb 14, highest ever on a single day.
·Team with ground-level experience of working with leading ecommerce and logistic companies like Flipkart, Instakart, Zomato, Udaan, etc.
Hyderabad, NFAPost: Having established a first of its kind local delivery model for on-demand delivery services for enterprises in Hyderabad, last-mile delivery startup Pickkup is now aiming to expand its services to South’s major metropolitan cities Bengaluru and Chennai, apart from starting operations in Vijayawada and Visakhapatnam this year.
With plans to have operations in 5 cities over the next few months, Pickkup aims to reach a revenue of Rs 10 crore to Rs 12 crore by the next financial year 2021-22.
With plans to have operations in 5 cities over the next few months, Pickkup aims to reach a revenue of Rs 10 crore to Rs 12 crore by the next financial year 2021-22.
The startup plans to raise seed capital in the upcoming financial year to fuel its expansion plans including establishing operations in multiple cities and hiring a new fleet.
Delivery volumes
The expansion plans come in the wake of stupendous post-Covid growth, with the startup registering a 20-fold rise in delivery volumes over the past 11 months. The demand for Pickkup’s on-demand last-mile delivery services grew tremendously from enterprises, particularly from retail and e-commerce players.
Apart from Bengaluru, Chennai the tech-enabled last-mile delivery startup is also ready to expand its operations to other Tier-1 and Tier-2 cities of Andhra Pradesh and Telangana.
Apart from Bengaluru, Chennai the tech-enabled last-mile delivery startup is also ready to expand its operations to other Tier-1 and Tier-2 cities of Andhra Pradesh and Telangana.
While the operations in Bengaluru are set to start next month, the startup is expected to take off in Chennai and Vijayawada in June and Visakhapatnam by October this year. Over the next two fiscal years, Pickkup aims to have operations in eight cities with expected revenue of Rs 50 crore.
Multi-city presence
With a number of its partners having a multi-city presence, the startup already has order commitments from a series of businesses and e-commerce platforms in Bengaluru and Chennai. The startup already has order commitments from businesses, bakery outlets, retail and several e-commerce platforms in Bengaluru where operations are set to take off immediately.
Pickkup Founder and CEO Hemanth Chandra said with its technology-driven services enabling a highly efficient local delivery model, Pickkup has emerged as the fastest-growing last-mile delivery startup.
“We are now ready to take our services beyond Hyderabad. Since many of our existing customers are requesting delivery support in Bengaluru and Chennai as well, these cities are on our immediate agenda, to be followed by other top tier cities,” said Hemanth Chandra.
On-demand model
He also pointed out that ecommerce customers have also approached us for delivery services in Tier -1 and Tier-2 cities of Southern India.
“We are aiming at establishing our unique on-demand model in at least 5 cities by the end of this year and expect to touch a revenue of up to Rs 10-12 crore by the next financial year. We are looking to raise upto Rs 7 cr including contribution from promoters to fund this expansion,” said Hemanth Chandra.
Notably, the startup has touched a revenue of Rs 1.6 crore this financial year, growing at a tremendous 200% year on year. The organization has also sealed crucial deals with retail giants like Future Retail, Vijetha Supermarket for doorstep delivery of consumer products.
A strong pipeline of customers along with rising revenues and order volumes have propelled the startup to a fast-growth trajectory.
Volume of orders
Pickkup, which started its operation in November 2018, has witnessed impressive growth in the volume of orders and revenues over the last year. The monthly revenue has increased 10 times in the last 11 months.
Pickkup has serviced over 125 enterprises, delivered 2,50,000+ orders covering over 15,00,000 kms so far with an uncompromising policy for a safe and secure service. The startup clocked 2500 deliveries on Feb 14, the highest ever orders on a single day.
Lack of efficient last-mile delivery services has been a major pain area for enterprises particularly small businesses that are time and resource-strapped. This paucity was felt particularly strongly by enterprises across the country last year as Covid 19 gave a major push to digital services and online deliveries.
Pickkup addresses this gap with its super-effective last-mile delivery capabilities. The startup’s value proposition comes from its horizontal play across multiple categories providing radius-free intra city deliveries to businesses. It services not just businesses but also other aggregators, e-commerce companies as well as other last mile delivery companies.
Pickkup is focused on innovation, capital efficiency and best-in-class customer experience. It uses technology and innovation to achieve positive unit economics. The startup is expected to achieve a break-even by the June quarter and achieve gross profitability by 2021 itself, within just two years of starting up, a feat considered difficult to achieve in the logistics domain. It is expected to achieve 1 lakh orders per month by June 2021.
