New Delhi, NFAPost: Porter, a prominent tech-based logistics company in India, has achieved remarkable growth in its business, with a year-on-year increase of 2x, highlighting its dedication to leveraging technology to optimize logistics operations. According to Ambuj Singh, the Vice President of Engineering at Porter, the company is committed to utilizing technology and digital solutions to address inefficiencies and establish an efficient logistics ecosystem.
Porter, headquartered in Bengaluru, provides intra-city logistics solutions through its app and web-based platform. The company aims to solve logistics challenges for businesses by offering efficient and reliable intra-city pickups and deliveries. Founded in 2014 by Pranav Goel, Uttam Digga, and Vikas Chaudhary, who are graduates of the Indian Institute of Technology (IIT), Porter initially operated in Bengaluru, Hyderabad, Delhi, and Chennai. However, with the backing of investors like Sequoia and Tiger Global, the company has expanded its services and plans to reach 35 cities by 2025. It has also made its maiden overseas expansion by venturing into the United Arab Emirates.
Singh emphasized the role of Amazon Web Services (AWS) in simplifying database operations, optimizing resource utilization, and facilitating the rapid launch of new features for Porter. AWS has played a significant part in enabling Porter’s growth and operational efficiency.
Porter’s innovative matchmaking-based business model has revolutionized the movement of goods on demand within cities. The company focuses on enhancing the experience of its driver-partners by optimizing their time, working capital, and increasing their income by 25-30%. Through advanced algorithms, Porter intelligently optimizes pricing structures and selects the most efficient routes, resulting in cost-effective and streamlined logistics solutions.
With a customer base of over 13 million across India, Porter operates an extensive fleet of more than 150,000 mini trucks, 100,000 two-wheelers, and 80,000 three-wheelers, providing reliable transportation options. The company has also integrated over 4,000 electric vehicles in key metro cities to emphasize sustainability.
Currently operating in 19 cities, Porter is expanding its reach to 35 cities, including tier 2 and 3 cities, within the next two years. In addition to its core transportation services, Porter has diversified into various verticals, including Porter On-Demand (providing two-wheeler, truck, and electric vehicle services), Porter for Enterprise, Porter Packers and Movers, and Porter Intercity. To support its growth and development, Porter has made significant investments, injecting approximately Rs 200 crore in the fiscal year 2022-2023.
Porter’s growth trajectory has been impressive, with a 2x year-on-year increase in revenue. In the fiscal year 2021-2022, the company generated approximately Rs 862 crore, building upon its previous year’s revenue of around Rs 328 crore. Porter has also experienced a significant expansion in its delivery partner network, achieving 3x year-on-year growth in employment. The company’s positive growth trends have attracted strong support from prominent investors, leading to successful funding rounds.
Porter foresees a substantial growth in demand for transport logistics services in the coming year. The company’s strategic expansion into new cities, along with initiatives such as vehicle branding and engagement-driven activities, will drive its business momentum.
Technology and digital solutions have played a crucial role in optimizing Porter’s operations. The company has implemented route optimization and tracking systems using GPS and advanced technologies. These systems enable efficient and timely service delivery by optimizing routes for driver-partners and allowing real-time tracking for monitoring progress.
Porter’s tech and digital strategy revolves around providing a user-friendly experience and ensuring seamless access to logistics services. The app incorporates features like voice typing for location and nudges to facilitate ease of use for driver-partners and small to medium-sized enterprise (SME) consumers without extensive tech expertise. As advanced technologies like ChatGPT, AI, robotics, cloud computing, and 5G converge in the logistics industry, Porter envisions incredible transformation possibilities. AI-powered chatbots and real-time data analytics optimize customer support and improve route planning, vehicle dispatch, and load balancing, resulting in efficient routes and shorter delivery times.
AWS has been instrumental in enabling Porter to build a scalable and resilient technology infrastructure. By relying on AWS-managed services like Relational Database Service, Elastic Container Service, and Simple Queue Service, Porter has simplified database operations, modernized applications, and maintained an asynchronous architecture. AWS’s cost-effective options such as Auto Scaling Groups and EC2 Spot Instances have helped optimize resource utilization, while the secure infrastructure and availability of managed services have facilitated the quick launch of new features.
Porter recognizes AWS as a crucial partner in its journey to build a world-class logistics platform.
