Borzo’s Leadership Discusses India’s Logistics Potential and Future Growth

Borzo, formerly known as WeFast, is a global intracity same-day delivery service that recently moved its headquarters from Amsterdam to Mumbai, India. The company is bullish on India’s logistics sector, particularly in the small and medium-sized business (SMB) segment. In an interview, Alina Kisina, CEO, and Eugene Panfilov, Managing Director of Borzo India, discussed the company’s journey, challenges, and plans in India.

Borzo’s Journey in India

Borzo began its operations in India in 2016, focusing on SMBs as a platform specializing in last-mile and on-demand delivery services. The initial years saw significant growth, driven by a surge in deliveries. By 2020, Borzo had started expanding into enterprise deliveries, aiming to diversify its portfolio. Currently, the company handles 1.5 million deliveries per month and has even more ambitious targets for the future.

A year ago, Borzo decided to focus entirely on India, relocating its headquarters to Mumbai. The company has since tailored its research and development (R&D) and product offerings to cater to the unique demands of the Indian market, which it views as having tremendous potential.

Challenges in the Logistics Industry

According to Alina Kisina, the logistics industry faces several core challenges, including ensuring rider availability, maintaining a reliable supply, efficient task assignments, and delivering high-quality services. Another significant challenge is ensuring product safety during transit. Borzo has developed a platform that facilitates better product descriptions and offers various packaging options to address this issue. The company also guides on selecting the best packaging and educates clients on effectively using its platform.
Eugene Panfilov highlighted the unpredictability of the SMB sector as another major challenge. Unlike more regular enterprise deliveries, SMB deliveries are highly volatile. Borzo’s technology and product offerings are designed to handle this unpredictability effectively.

Focus on Hyper-Local Delivery

Borzo’s hyper-local delivery service is an integral part of its logistics process. In 2020, the company acquired a local firm in Delhi specializing in hyper-local deliveries and integrated this into its platform. Initially targeted at the enterprise segment, Borzo later extended this service to its SMB clients, offering quick assignments and rapid delivery. Hyper-local deliveries now account for 40% of Borzo’s total delivery portfolio in India and 100% of all deliveries for the enterprise segment.

The Way Forward

Looking ahead, Borzo aims to lead in technological development within the last-mile logistics sector. The company is working on various products, including urgent deliveries, hyper-local deliveries, and a new same-day delivery service that offers lower-cost options by the end of the day. Borzo’s same-day delivery service, designed for non-perishable items, is expected to optimize costs for businesses by up to 40%.

Borzo is also exploring mergers and acquisitions (M&A) opportunities in India, though any such activity must be meaningful and add value to the company. The focus is on providing the best service to current clients while identifying the next market fit that will propel the company to new heights. With its global headquarters now focused entirely on India, Borzo is committed to unlocking the full potential of the Indian market.