After its strong beginning in India, Sagisu is on the hunt for more success by bringing its trucking and shipping technology to the United States with a cutting-edge app that facilitates streamlined freight transport coordination.
The company has secured venture capital funding for its initial launch and is scheduled to begin operations in New York, California, Georgia, New Jersey, and South Carolina where it will address current U.S. trucking industry challenges.
The Story Behind Sagisu
India-born businessman Mithun Kadur formed Sagisu in May 2016. Kadur, who then had 13 years of supply chain and technology experience, was advising major U.S. retailers and carriers about the intricacies of the supply chain when he had a realization. Logistics are a critical part of the supply chain — and India hadn’t yet gone through a digital transformation.
He had seen that many U.S. trucking companies use technology on a daily basis. Trucking leadership uses technology to track truckers and make data-based strategic decisions. Truckers on the road leverage advanced GPS systems to discover which routes are fastest. Administrative teams use technology to ensure fees are ultimately collected. Shippers and carriers use technology (like freight load boards) to post loads, or they hire load brokers who use technology to find and enter into freight agreements.
Kadur decided to travel to India, just to see how far along the digital transformation really was. In January 2016, he talked with 35 truckers about their use of technology—and was shocked by what he found.
The truckers had discovered by experience how best to complete his or her route, with no assistance from technology. While this worked sometimes, there were often road closures or other slow-downs that the truckers simply could not predict. Logistics communications were delivered through word of mouth, Whatsapp messages, text messages, or on pieces of paper. There was a clear gap between where the supply was and where the demand would be found. The trucker market also had difficulty with pricing and often overcharged to save for empty miles as there were no digital way of connecting to demand.
Without standard communications technology or even standard processes, deliveries were regularly slowed down. Without much data on deliveries, leadership had no way to explore or negotiate pricing.
Founding and Expanding Sagisu
After some research, Kadur found that many countries lacked logistics technology that would help them streamline deliveries and view valuable data. South Asian countries, Mexico, Latin American, and African nations especially struggled. After half a year of additional research, Kadur launched Sagisu in May 2017.
As Sagisu thrived, Kadur took another look at the U.S. trucking technology industry and realized something: Freight brokerage had not evolved enough in the US as well. Load boards for truck freight weren’t streamlined, some truckers didn’t have advanced GPS systems, and customers sometimes didn’t have real-time delivery information readily available.
Because U.S. trucking companies haven’t capitalized on useful trucking software as much as they could, there has been a lot of movement in the logistics tech industry, which investors are keenly aware of—especially considering the size of the U.S. trucking industry. According to Reuters, the U.S. trucking industry generated more than $700 billion in revenue in 2017, and total truck tonnage, including for-hire and private carrier operations, hit 10.8 billion tons in 2017.
In other words, there is a huge opportunity in the U.S. companies Sagisu who want to streamline trucking logistics.
“While the first countries we worked with had more drastic problems than the U.S.,” says Kadur, “U.S. trucking companies have certainly not capitalized on the technology that is available to them.” As CEO of Sagisu, he aims to spread price discovery and transparency across the trucking industry worldwide.
On the simplest level, Sagisu is a platform company acting as a freight marketplace. Among other things, the cutting-edge app streamlines freight transport coordination, replacing complex load boards for truck freight.
Sagisu ensures drivers know where they need to be at what time. Through an intuitive app on truckers’ mobile phones, businesses and customers alike can follow parcels and loads through a common user dashboard.
With Sagisu, truckloads are loaded with care are sent with full trackability so those receiving the shipment on the other end can ensure they have the right resources available for unloading at the right time.
A June 2019 Launch
Sagisu will begin providing reliable real-time freight data and coordination for U.S. enterprises and truckers in June 2019. Sign up for the web app for shippers here or download the mobile version for carriers in the Google Play or Apple app stores.