Bengaluru based venture capital firm, Prime Venture Partners has led a $1Mn investment round in logistics tech startup, WheelsEye.
Earlier this year, in March, Prime Venture Partners closed its third fund at $61.6 Mn. Some of its recent investments include AI focused health tech startup mfine ($4.2 Mn, Series A, May 2018) and myGate ($2.5 Mn).
WheelsEye was founded in 2017 by Anshul Mimani and Manish Somani. It aims to disrupt the logistics sector by enabling use of technology to decrease operational efficiencies and also lower overall cost.
The startup is building a Software as a service (SaaS) product for the logistics industry to enable automation and bring efficiency to the otherwise manually run sector.
As mentioned on its website, “Our software helps you to identify which factors are driving your business success and guides you to make data driven logistic decisions. Wheelseye promises minimum guarantee levels for critical support, implementation, training & access to new released features.”
The founders plan to use the funding to refine its product, which is still in the early stages of development.
The Challenges WheelsEye Is Trying To Address
According to Economic Survey 2017-18 report, the Indian logistics industry which is worth around $160 Bn has reportedly grown at a compound annual growth rate or CAGR of 7.8% in last five years. The sector has also been recorded to provide employment to more than 22 million people.
However, the sector currently faces certain challenges which are related to infrastructural deficiency, skilled manpower and slow adoption of technology.
Further, there is reportedly a lack of awareness in the logistics sector about the economic benefits of using digital technology which is leading to operational inefficiencies and poor asset utilisation.
“In India the sector is plagued by many challenges, hence we see a huge opportunity for a technological transformation. Effective prioritization and application of data and technology is what the industry needs. We are passionate about solving for these specific issues and are excited about the fund raise,” said Anshul.
Other startups that compete with WheelsEye, like Bengaluru based LetsTransport also wish to streamline and revolutionize intra-city logistics at the tap of a button. Also, companies like Bengaluru based Blowhorn and Shippr among many more are some of the popular players in this field.