With 2 million journeys and a $1.6 million elevate, Shuttlers is driving previous Lagos
Shuttlers, a logistics startup out of Lagos, Nigeria, has raised $1.6 million in seed funding to increase into African nations.
The funding spherical was led by VestedWorld, a Chicago-and-Africa-based funding agency, with Interswitch, Rising Tide Africa, Launch Africa, EchoVC, CMC 21 & Alsa, ShEquity, Five35, Consonance Funding, CcHub Syndicate, Sakore, and Nikky Taurus additionally taking part within the elevate.
With its new elevate, Shuttlers intends to strive its wheels in additional Nigerian cities earlier than increasing past the borders of the nation into different African nations.
Shuttling Lagos’ transportation system
In 2016, Damilola Olokesusi based Shuttlers to deal with the inefficient transportation system in Lagos, Africa’s most populous metropolis. The startup was a tech-enabled bus-sharing firm focused at serving to Lagosians commute in consolation at reasonably priced charges.
On the time, Lagos was a metropolis holding 23 million individuals and 90% of its transport system was road-based, with semi-formal mini buses or danfos accounting for 45% of journeys whereas strolling accounted for 40%. In accordance with the Lagos Metropolitan Transport Authority in 2015, the town alone additionally accounted for 30% of the full variety of street automobiles in Nigeria, with a vehicular density of 234 automobiles per kilometre.
Though Lagos has numerous federal roads, its transport system is epileptic because of the poor nature of a few of the roads and the dearth of a proper or public transport system which accounts for under 2.5% of the system.
At launch, Shuttlers didn’t have a cell app.
The corporate’s mannequin on the time was messenger-based, utilizing Slack, electronic mail and WhatsApp to speak routes and timelines to its prospects. One among their very first shoppers was Andela, which took benefit of the startup’s B2B2C choice to ferry its staff throughout the state.
By 2019, Shuttlers revamped to introduce a cell app the place prospects may subscribe to any of the three plans out there, which features a B2B the place enterprise shoppers pay the full fares of their workers, and B2C the place particular person prospects pay fares themselves.
Presently, the platform provides further options together with dwell bus monitoring, digital funds and an on-trip menu.
Though the corporate has solely managed to boost about $6,000 in angel investments and grants, Shuttlers’ route has been lauded with immense development as the corporate claims to have over 10,000 customers throughout its net and mobile-based platforms. With over 100 buses and 300 bus stops in Lagos, Shuttlers additionally claims to have recorded over 2 million journeys since its inception in 2013.
For CEO Damilola Olokesusi, the elevate validates the exhausting work her crew has put in for the previous 5 years. Olokesusi additionally believes that it’s an encouraging nod for feminine entrepreneurs within the tech area. “It reveals that ladies can thrive in any business they select, particularly tech which is very male-dominated,” she informed TechCabal. “I’m not solely a feminine entrepreneur, I’m an enormous supporter of ladies who’re making a distinction of their industries. I hope the work I do at Shuttlers conjures up girls to be daring with their aspirations.”
Traders are additionally excited for the way forward for Shuttlers with Olokesusi on the helm. “We’re very excited to again Damilola on this enterprise and work alongside a gaggle of dedicated monetary and strategic traders to scale this additional,” stated Lavanya Anand, Principal at VestedWorld.
Talking on the necessity for Shuttlers and its mission, the CEO emphasised the corporate’s mission to remodel the commuting challenges in African cities. “Our mission at Shuttlers is to remodel the best way individuals commute all over the world, by constructing a worldwide associate community and connecting communities of shuttlers like we’re presently doing in Lagos, Nigeria. The detrimental influence of inefficiencies within the mobility area is seen within the high quality of life, psychological well being, and work productiveness of commuters. We additionally see its influence on the extra weak and uncared for inhabitants in our society; girls, youngsters, bodily challenged, and the aged. I’m assured that our good mobility options can clear up a few of these city mobility challenges sustainably and likewise scale back carbon emission.”