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TruckBhejo is an app-based marketplace for hiring mini trucks for transport of construction materials, furniture, large appliances, industrial supplies, etc. within the city provides tata ace trucks with a loading capacity of 1 tonne. Claims to provide verified drivers. Vehicles have GPS installed for real-time tracking. Offers additional help for loading and unloading. Spurred on by the digital revolution, and a desire to bring operational efficiency through technology in the unorganized, fragmented logistics industry while simultaneously bettering the lives of the trucking community at large, Nilesh Ghule, co-founded TruckBhejo in 2016. His farsightedness, ethical practices, flexibility, efficiency, and visibility in operations have made Nilesh a successful entrepreneur from just being a truck driver's son. Analytics Insight has engaged in an exclusive interview with Nilesh Ghule, Co-Founder and Chief Executive Officer, TruckBhejo.
My partner, Supreet Perisetla, and I founded Forza Logistics Techlabs Pvt. Ltd. in 2016. Popularly known as TruckBhejo, it is a technology-led logistics company with a current fleet of 4,500+ vehicles actively running in different sizes with different payload capacities—from 500 kg to 25 tonnes—in 40 cities across seven states and all the three delivery miles.
With flexible shifts and an all-night dispatch model, we deliver high volumes even on a shorter deadline. We made good on this promise by setting up an all-night operation for a leading FMCG company for secondary distribution pan Maharashtra. With hardly any advance notice, we were able to pull off the challenge, ensuring the client made all the deliveries on schedule.
In the five years since our inception, we have shipped over 2 million tonnes and completed one million deliveries. This includes a monthly order of 50,000-plus to help an e-commerce company meet increased demand during the festive season.
Our relentless run continued even during the pandemic. A variety of trucks ranging from 19ft and 32ft containers to 40ft tailors made it possible for leading engineering and construction players to continue the work on projects uninterrupted at a time when the unknown virus had locked people in their homes and brought many businesses to a standstill.
It gives me great pride to inform you that TruckBhejo bagged the Indian Achievers' Award in 2021 for 'Emerging Company' in recognition of our outstanding professional achievement and contribution to nation-building.
In what is still largely an unstructured and unorganized sector, what sets TruckBhejo apart is its scalable and sustainable business model, and its reliance on smart technology to enhance operational efficiency. Consistency even during crisis situations and its drivers' first approach, TruckBhejo strives to converge the demand and supply sides of the logistics needs.
Being a truck driver's son, I understand the problems inherent in the supply chain while my stint with telecom giant Reliance Jio has given me clarity on demand. In these five years, TruckBhejo has tried to connect the two, assuring positive returns for all our stakeholders.
While suppliers are assured of a smooth supply chain that promotes productivity and cost optimization, customers get the digitized benefits of end-to-end real-time visibility and the guarantee of timely delivery.
This has brought 95% contract renewals which in turn assures our drivers of load certainty and higher frequency of load allocations. Our tech-based platform ensures that their trucks don't return empty.
This brings financial security to the truck drivers and their families which is one of the biggest gaps I saw while growing up.
Satisfied vendors, transporters and customers create a mutually beneficial circle with demand and supply supporting each other. And this is what gives us an edge over the competition.
Starting with just one order from Paper Boat, today we are catering to close to 50 satisfied customers across various industries including FMCG, infrastructure, manufacturing, retail, telecom, e-grocery, e-commerce, and even Central government agencies.
We want to expand in length and breadth while also exploring new areas. This means leveraging the existing client base by offering more routes and also leveraging established routes to expand the client base. Also, find new clients in new hub cities and connecting networks.
We are working towards breaking into the SME segment and cold chain storage logistics. Both present multiple growth opportunities. We are working on a platform specially designed to meet the ad-hoc requirements of MSME and SME companies. This will help not just the customers but will give a platform to the vendors as well whereby they will have more options to choose their routes, loads, and price too. Data is the new mine of gold. All we are doing is using the smart tools, and putting them to use case.
Digitization in logistics is based on six characteristics: cooperation, connectivity, adaptiveness, integration, autonomous control, and cognitive improvement. The application of industry 4.0 technologies brings end-to-end visibility all along the supply chain.
As I mentioned earlier also, we use data analytics, AI, cloud, sensors, blockchain etc to streamline operations and promote route optimisation and transparency to help customers as well as vendors.
The monitoring starts from the first mile itself, from farm to factory to warehouse. It moves along the middle mile, from a warehouse in the interiors to a distribution point within the city, then goes down the last mile, from the distribution point to the end consumers. At every step along the route, our stakeholders, which includes vendors, customers, transporters and internal teams, can use their respective mobile apps to live-track vehicles, drivers and cargo.
Visibility through an end-to-end, real-time interface is rare in this still largely unstructured and unorganized sector where intermittent and even indefinite delays are common, with no accounting for the 'missing hours'. By choosing automation over manual operations, TruckBhejo is able to select a route that is both time and cost effective. If there are any roadblocks, they are promptly flagged off and can be fixed asap.
Our technology-led platform has come to be trusted for its smart solutions while the deployment of these tools has helped us scale up our business and make our presence felt in 40+ cities. Over the next three years, we hope to penetrate more markets in Tier II and Tier III cities.
My father himself was a truck driver. In 2005, with the dream of giving them a better standard of living, I moved from Nashik to Pune and enrolled at the College of Engineering Pune. With a B.Tech degree from CEP, I joined Infosys. But soon after, I moved to Bengaluru, studying for a degree at the Indian Institute of Management. This is where I also met Supreet, TruckBhejo's co-founder and CFO.
Soon after completing my MBA, I joined Reliance Jio as Senior Products Manager. It was while I was with the telecom conglomerate, sending network equipment to 880 cities, that I realised the challenges logistics posed due to multi-vendor interface, geographical dependencies and limited technology adoption. This, along with the digital wave triggered the idea of a scalable business through a viable amalgamation of logistics and technology and TruckBhejo came up in January 2016.
The Indian logistics sector with 70% dependence on road transport is a promising playground, valued at ~US$ 200+ bn and projected to grow at over 10% CAGR in the next five years to reach US$ 320-330 bn. While still largely unorganized, the sector offers tremendous scope for innovation and growth.
Our biggest challenge in the journey so far was to bring truck drivers on one platform and educate them on technology-led applications. Starting with one order, one route, and one truck, TruckBhejo has come a long way. TruckBhejo has unlocked growth opportunities in a fragmented industry while staying operationally profitable.
I am an avid cricketer, have played at various levels and continue to play for Pune's Fiery Cricket Club (FCC). My favourite sport has made me a team player. So, while TruckBhejo is focused on fast-paced, organic growth, it also aims for inclusive growth. We don't just want to scale up our business, but that of our logistics partners as well so we can grow together.
We want to become a trusted partner for our stakeholders, and that includes our truck owner drivers who literally drive the business. From 12-15 truck-owner drivers, our family has extended to 4,500+ trucks on our platform today. Of these, 85 % came to us through word-of-mouth. Our attrition rate has been almost negligible and over the next three years, we aim to have a fleet strength of 20,000.
TruckBhejo aspires to create India's largest, fastest, and most reliable logistics network. But as any cricket captain will tell you, matches cannot be won alone. You need the whole team on your side, and that's how it's going to be for TruckBhejo too.
For most new-age companies, revenue and topline are the barometers of success. However, for us at TruckBhejo our priority will always be human resources, how we can impact the lives of our logistics partners for the better, and most importantly, our bottom line. I can proudly say that TruckBhejo has been a profitable company since its inception. My leadership mantra whether it is on the field or the road is to ensure endurance and sustainability.
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