Lalamove’s Crowdsourcing Logistics Model Expands in Asia

Image via Flickr by Catherine

Lalamove is a logistics company that helps customers transport items from one place to another with the use of a simple app. Customers simply put their needs into Lalamove’s app and then select the local drivers and couriers they want to deliver their items. It brings a whole new dimension to shipping because customers don’t have to go into a post office or use standard shipping methods. There is a standard fee schedule. Talamove’s business model helps customers save money and local drivers to get more business.

Many people think Lalamove’s operations model could be the future of logistics. As a matter of fact, the company changed their tagline from, “Everyone’s Private Driver,” to “Where Lifestyle Meets Logistics” because of the direction they were going. Lalamove’s services are currently available in several cities in Asia, but the company just raised $10 million to expand.

The company originated in Hong Kong back in December 2013. They created Android and iOS apps for customers to find “regular” drivers and local couriers. Their service model is very similar to “Uber for Logistics” in America. Anyone can be a driver as long as they have a valid driver’s license. Lalamove is basically crowdsourcing for logistics services.

Tech Crunch said the $10 million raised by Lalamove comes from several capital companies, including Sirius Venture Capital, Geek Founders, Mindworks Ventures, and Aria Group. The money will be used for advertising, development, and other programs that will help the company expand into Southeast Asia, as well as maintain their position in Hong Kong, Bangkok, Singapore, Taipei, and other existing urban markets where the business operates.

Many logistics companies are tied up delivering online purchases. This new crowdsourcing model to logistics is the next logical step to getting goods from one place to another. It will probably start popping up in more areas around the world.

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