African businesses pay four times higher than the global average for transportation of goods, such as raising the prices of essential goods such as food and medicine. 75 % of product costs on logistics continent, According to To the African Development Bank (AFDB). Many of these businesses also rely on manual supply, which delays.
Nairobi -based logistics software service provider Year He wants to change them all. Its AI -powered platform improves delivery routes, tracks shipments in real time, smooth payments, and provides shipping insights to businesses.
Startup has collected 5 million millions in financing seeds to measure its solution, which says businesses are helping to move goods to the entire subcontinent cheaper and faster. The European VC firm Speed Investment supported Google’s Africa Investment Fund and Aquator, supporting the African -based climate tech fund.
In November 2022, Kenya’s Logistics Startup A million gathered 3 million pre -seeds From several local investors, he used his five basic markets: Kenya, Nigeria, Uganda, Zambia and Zimbabwe to deepen operations.
Founder and CEO Nick Joshi explained that Lata’s burden and route optimization technology helps its clients reduce the number of vehicles needed to reduce and distribute the cost.
Joshi says Lata is directly connected to businesses’ ERP, POS, and OMS system, which directly draws order data such as SKUs, product types, prices and customer details.
From there, the platform chooses the best available vehicle for each order and decides whether to replace the manual, intuitive -based dispatching, first in, first -out (FIFO) or last -in -to -products using the First Out (LIFO) methods. (FIFO loads the oldest inventory first, while Lifo first loads stock.)
The platform then automated the plan to create and send a mini -fest, while improving the use of regional demand and truck -based vehicles. Finally, the latte system, which, according to enthusiasm, is powered by AI, improves the delivery routes in real time.
The CEO said, “For example, if there is a cycle where a truck or motorcycle repeatedly fails to complete this route, AI has flagged it as a blacklisted route.” “This may be due to floods, police stops, construction, or presidential convoy. This system permanently updates its map layer to reflect these changes.”
Logistics, embedded finance, and sustainable plays
Lata’s real -time mapping has become a key asset to Google, one of its investors. Joshi notes that Google Maps has not updated some areas of Nairobi since 2022, while Lata’s platform improves the road permanently and addresses data obtained directly from customer supply.
He explained, “We are creating a very strong map and address layout, which is why I think Google found it interesting.”
By connecting stakeholders in the supply chain, Joshi views financial services as a natural expansion of Lata’s software platform and is already piloting some new products. Joshi says potential offers include fuel cards, financing assets for vehicles and equipment for delivery partners, and supply chain support for FMCG traders.
Deepali Niangi, who directed Speed Investment in Africa and the Middle East, said that the firm supported Lata because it has taken advantage of the logistics as the driver of the development as a gateway and fantasy, which has opened up new business opportunities. “
Latta also helps businesses reduce the size of the fleet without any delivery, reduce fuel consumption and emissions, which explains the backing of the equality.
Joshi claims that “a 70 truck company saves about $ 30,000 a month using Lata.” “We have not yet begun to detect carbon emissions, but this year is an important purpose.”
Kenya’s start now strengthens 35+ big businesses, including global brands like K -FC and Diajeev, and local giants like EABL and Gilani, which improves 10,000+ daily travel in their five markets.
Since Our 2022 coverageLata has seen large -scale growth: from 20,000 tonnes to 150,000, and from 2,000 vehicles to 7,400 supply from 500,000 to 4.5 million. As a result, Lata’s revenue, which is made on every delivery pricing model, has increased by 5X.
Lata’s purpose is to double revenue in the coming months as it spreads with clients like KFC and Diajeev in more African and Middle East countries.
Globally, Latta Mirror Early Flex port Before they move to a tech -fired completion and asset ownership. In Africa, like logistics startup SyndyFor, for, for,. Lori (Also with the help of Google) and Cobo 360 An asset took a heavy approach, worked as a truck and a bachelor. However, this model has struggled, which is recent Closure And Axis.
Lata takes a different approach: just software. Instead of owning or collecting assets, it contributes with companies that already own fleet, helping them to promote and improve their performance. This is a playbok that is like other global logistics tech firms BringFor, for, for,. OnfleetAnd Ship Follow too.
Joshi says, “The first generation of logistic startups in Africa worked hard by proving what might be possible by educating the market.” “When we entered, some people were getting out of their business or trying to explain them. So we knew again what the market was looking for and what they need.”