During the Pandemic, the importance of last-mile delivery, or the movement of goods from a shipping hub to their final destination, came into sharper focus. The global last-mile delivery market is expected to double to more than $200 billion by the year 2027. Customers expectations have increased as last-mile deliveries of essentials continue to increase. More than 75% of shoppers said that an unacceptable delivery experience would affect their decision to order from the company again.
The market for last-mile delivery technologies is always active. Companies like Carmagos are using robots and mini distribution centers to streamline inventory for last-mile delivery, while others, such as Berlin's Get Henry, are providing e-bike fleets to delivery business customers.
Onfleet claims that its software facilitates millions of deliveries per week for thousands of businesses, including Sweetgreen. At least in the short term, Onfleet today announced that it raised $23 million in Series B funding led by Kayne Partners and Savant Growth.
The new capital will be put towards product development, expanding Onfleet's product and engineering capabilities, and enhancing the company's enterprise offering. Over 40 million dollars has been raised to date by Onfleet.
Onfleet provides delivery tracking.
The need for these types of services that did not exist before was created due to the rapid growth of the market. Delivery was a safer option for consumers because of the fear and uncertainty surrounding grocery store visits. Delivery is becoming the main channel for businesses in grocery, cannabis, prepared meals and restaurant, alcohol, pharmacy, and retail categories.
In 2015, Naim co-launched Onfleet with Mikel Carmenes Cavia, a high school peer of his, and David Vetrano, who he met while pursuing his masters degree in business administration. The three were inspired to develop a universal way to share a location when they were growing up in the Middle East.
Many of the businesses that were trying to use Addy weren't using logistics technology. They used the experience of managing driver fleets to memorize every tree and fork in the road. They decided to develop a delivery management platform called Onfleet.
We thought that was interesting when delivery drivers started using phones to communicate. The majority of drivers are going to have a phone. If they all have devices, the Dispatcher could send them work in real time, send them work in a more dynamic way, and track them with a gps device. Businesses can use Onfleet's technology to more efficiently connect businesses, drivers, and deliveries to their customers.
Users can use the OnFleet dashboard to find drivers and deliveries. The platform can assign tasks to drivers based on factors such as time, location, and capacity.
Real-time driver tracking and proof of delivery are provided by Onfleet. Managers who can chat with drivers on the platform can see performance metrics.
To-the-minute information, decision-automation, and proactive notifications are provided by Onfleet. We derive a dataset by analyzing location data for delivery segments, and we have collected 500 million miles of data points. The first significant application of this data was our predictive feature. More refined models are being worked on to better predict travel time and operational parameters, as well as aspects of the delivery process.
The image is called Onfleet.
In light of recent reporting on the plights of third-party delivery fleets, some drivers might object to that type of data. According to a recent study by the Strategic Organizing Center, almost one in five drivers making deliveries for Amazon suffered injuries as they faced punishing quota and pressure to ferry packages as quickly as possible.
At a time when there is a severe shortage of drivers, Onfleet offers a way for underperformers to improve. More than 80,000 truck drivers are needed in the U.S., according to the American Trucking Associations.
The goal is to make it easy for small and medium-sized businesses to track the value they add to their business. The shortage of drivers in the transportation, logistics, and delivery industry has been a problem for a long time. Due to the talent shortage, the prioritization of work/life balance since drivers spend more time away from home, and the skills gap given the profession, it's getting harder to find people to hire for these types of roles. Businesses in this area can use our platform to monitor activity and reduce the number of drivers they need.
He claimed that the company is on track for continued growth as it tries to differentiate itself from rivals such as Wise Systems and Bringg. San Francisco, California-based Onfleet plans to increase its workforce from 120 to 150 by the year's end.
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