- A new platform dubbed inDrive.Freight will allow users to send parcels with the cost of delivery negotiated with the driver.
- Customers will send parcels of up to 20,000kg to one another.
- The platform will also allow users to receive or send non-liquid items via in-city routes in Cape Town and Jo’burg.
E-hailing platform inDrive, best known for allowing customers to negotiate prices with drivers, looks set to tap into South Africa’s freight market. The move follows the introduction of bargain-your-ride e-hailing service in the country.
The new platform dubbed inDrive.Freight will allow users to send parcels with the cost of delivery negotiated with the driver. With offerings ranging from compact cars for smaller parcels, to large trucks suitable for moving or business requirements, customers will send parcels of up to 20,000kg to one another.
The platform will also allow users to receive or send non-liquid items via in-city routes, track the delivery vehicle in real-time and receive their package on the same day.
inDrive service in Cape Town and Jo’burg
The service will start in Cape Town and Johannesburg cities with plans to expand to more cities across South Africa before the end of 2023. The freight service, which already operates across other markets globally, is targeted at consumers and businesses.
“At inDrive, we understand the unique logistics challenges that small businesses and individuals face,” inDrive business representative in Southern Africa Vincent Lilane said.
“We have introduced inDrive.Freight in South Africa to address these challenges. It is a comprehensive solution offering competitive pricing, timely delivery, and the flexibility and scalability needed in today’s fast-paced world,” he added.
In 2021, the company introduced its courier service in South Africa, which operates using scooters. The offering will be competing with Bolt Business Delivery, Uber Connect, as well as a host of other courier services in the country.
In May, inDrive acquired Master Delivery, a global software-as-a-service platform for last-mile delivery. The initiative aims at enhancing its freight and courier delivery offerings across the world.
Customers to decide choice of vehicle
inDrive says it will allow customers to decide the shipment details, including timing, location and the choice of vehicle. Additionally, it helps them negotiate a price–all done via the app.
When customers propose a freight price, drivers can respond by accepting, declining or suggesting an alternate price, without consequences, says the company.
“Small businesses are the backbone of our economy,” said Mike Anderson, Founder and CEO of National Small Business Chamber. “Solutions like inDrive.Freight, which offers flexibility, affordability, and efficiency in the logistics process, are pivotal for the growth and success of these businesses.”
All drivers and their documentation are vetted for security reasons, and real-time delivery tracking tools ensure the cargo is on track, it says.
The California-headquartered firm made its entry in South Africa in 2019 and Tanzania earlier in 2018. To date, the firm has since expanded into 10 cities across five African countries, including Kenya, Uganda and Nigeria.
The “Freight Transport by Road in South Africa 2023” report indicates that global demand for South African commodities has increased exponentially and supply chain management and logistics, including warehousing and road transport, are the vital ingredients needed for successful economic recovery.
Violent assaults on drivers
The road freight sector is, however, facing disruptions such as border and port congestion. Quite often, drivers experience violent assaults and torching of trucks. Players are also reporting in-transit and warehouse cargo theft.
Additionally, rapidly deteriorating road infrastructure and increasing operating costs are hurting players in the industry. Transport firms are also hurting from high fuel prices and foreign exchange woes.
The industry performed strongly in 2022, with volumes transported increasing significantly. Across many economies in Africa, road transport continues to benefit from ongoing underperformance of the rail industry.
South Africa is experiencing a record trade surplus in the wake of the pandemic, the report says. The key commodities and products being transported are agricultural produce. Manufactured goods including machinery, equipment, motor vehicles and mining outputs are also offering good business
About 85 percent of all exports are transported by road to ports or airports for export outside the country. An increase in exports has a significant effect on volumes transported by road. This is especially so given the incapacity of rail to absorb higher exports, especially of minerals.
