When retailers launch their e-commerce companies, they’ll simply handle the end-to-end operations within the early levels. However as they start to develop, managing their very own operations, from warehousing and logistics to supply and money assortment, can turn into troublesome. This can stop them from scaling successfully regardless of having a gentle influx of demand.
Now, there’s a necessity to dump a few of this workload. That is the place e-commerce achievement companies come in useful.
At the moment, Flextock, one such firm offering this service to companies and shoppers in Egypt, is saying that it’s a part of Y Combinator’s Winter 2021 batch. Based by Mohamed Mossaad and Enas Siam in September 2020, the Egyptian firm launched in stealth this January.
Based on COO Siam, the founders observed that as e-commerce actions within the Center East and North African areas accelerated as a result of pandemic, retailers had been left overwhelmed with the amount of orders they obtained.
“We noticed it as a chance to construct a tech-enabled platform to have the ability to assist anybody that wished to develop their very own impartial model or retailer,” she advised TechCrunch. “We wished them to concentrate on their merchandise and advertising whereas leaving the availability chain and logistics bit to us, which we do by our end-to-end proprietary software program.”
Mossaad, the corporate’s CEO, describes Flextock as a tech-enabled achievement supplier. When retailers signal as much as the platform, they ship their merchandise to one of many firm’s achievement facilities. Flextock takes the entire catalog and tags the merchandise for monitoring functions. Then, integration is made between Flextock and any on-line retailer they use, be it Shopify, WooCommerce, Wix and Odoo, amongst others.
As orders are made, Flextock packages and ships the merchandise from the achievement middle to the shoppers. Flextock doesn’t personal any supply automobiles, so to realize this, the corporate companions with present logistics corporations in Egypt. This mannequin has helped the startup to create a market for various last-mile supply corporations within the nation.
There’s additionally a dashboard for these retailers to trace every order, get extra visibility into their transport course of and understand how nicely their merchandise promote.
Flextock makes cash on a per-order foundation. Meaning the retailers on the platform pay a flat charge that modifications with respect to the amount of merchandise moved.
Mossaad says that because the firm beta launched in January with greater than 20 companies, it has been rising 50% week on week. It has additionally accomplished over 300,000 orders throughout 28 cities within the nation.
Based on the CEO, Flextock is the primary end-to-end achievement service in Egypt. And in a market that may possible see extra competitors within the subsequent couple of years, Mossaad thinks Flextock has the chance to turn into the market chief.
Behind this rationale is that the six-month-old startup is backed by Y Combinator and has additionally raised $850,000 which is simply the primary a part of its million-dollar pre-seed spherical that may shut someday this yr.
“We had been in a position to very shortly get the acceptance of YC given the dimensions of the chance we’re centered on. We consider that commerce is anticipated to alter within the Center East and Africa, and Flextock goes to be on the forefront of powering this subsequent technology of commerce,” he stated.
The founders mix a wealth of company expertise and a robust monitor document of scaling tech startups within the MENA area.
Siam began her profession managing provide operations at Nestle throughout the Center East and North Africa. Later, she turned the Common Supervisor of Careem Bus, a mass-transit service and Uber subsidiary, the place she helped construct the product from scratch and grew it to 150,000 month-to-month rides in a yr.
Mossaad, alternatively, has labored on a number of turnarounds throughout totally different African nations throughout his time at Bain & Firm. He joined Egyptian on-line meals supply platform, Elmenus, as Chief Technique Officer. He helped scale the corporate’s revenues 5x in lower than a yr and was instrumental to its $8 million Sequence B spherical.
The CEO says Flextock has its sights on different African and Center Jap markets — particularly Saudi Arabia — and the plan is to offer its companies to over 1 million companies in these areas over the subsequent decade.
“We’re on a mission to allow greater than 1 million retailers in Africa and the Center East to promote on-line with out finishing up the effort of operating their very own operations. We’re well-positioned to do this, and hopefully, we can obtain that in a document time.”