International delivery company Borzo increases footprint in Vietnam

International delivery company Borzo increases its footprint in Vietnam

Dostavista is the parent company of MrSpeedy delivery service in Vietnam, which has made its debut in the market in 2018. In August, Dostavista has changed its name to Borzo and announced rasing $35 million in a Series C funding round led by UAE-based investor Mubadala. Other investors participating in the round were VNV Global, RDIF, Flashpoint Venture Capital, and others.

With the fresh funds, Borzo is looking to ramp up its expansion in key markets including Vietnam. The company aims to tap into Vietnam’s evolving on-demand delivery space. Specifically, the tough pandemic restrictions have forced shoppers to use online shopping channels to purchase food and essentials. However, the unprecedented volume of online orders at major grocery stores and supermarket chains has resulted in cancellations and long delays in delivery.

Borzo says its gig economy workforce enables delivery via any route, any transport, any weight, or size. Borzo has built algorithms to optimize numerous parallel delivery routes, taking into account the geographical routes, packages’ contents, couriers and other factors. Therefore, it can help retailers to quickly fulfil online orders while optimising shipping costs for customers.

As part of its expansion plan in Vietnam, Borzo has signed a comprehensive agreement with Vissan Mart, which is a longstanding brand with more than 50 years of development in the local market. The tie-up with Vissan Mart will help Borzo to expand its potential customer base and increase brand awareness in the market.

Under the agreement, Borzo is responsible for delivery services for Vissan Mart online channels. The company also cooperates with Vissan Mart on advertising campaigns to attract a large number of Vietnamese customers. The partnership is expected to bring a convenient and seamless service experience to online shoppers in Ho Chi Minh City and Hanoi.

With a large pool of shippers and the application of the latest technologies, Borzo will help optimise costs and operations for Vissan Mart. Meanwhile, the Vietnamese retailer is expected to bring a large amount of orders to Borzo shippers, improving their income. As a result, the two companies will form a customer-centric supply chain for Vietnamese customers.

Moving forward, Borzo will continue to accompany Vissan Mart as the Vietnamese retailer expands services to Danang and other major cities. Borzo also hopes to connect its Application Programming Interface with Vissan Mart's platforms to acquire consumer data to improve the performance and quality of its services.

Founded in 2012, Borzo says it now has a customer base of 2 million users, 2.5 million couriers, and operates in 10 countries, including Brazil, India, Indonesia, Korea, Malaysia, Mexico, the Philippines, Russia, Turkey, and Vietnam. It claims to be fulfilling over 3 million orders a month with an annual gross revenue run rate approaching $150 million.