The Smartmile cloud SW platform connects automated parcel machines (parcel lockers) to any courier, retailer and online buyer. Through this we build the most efficient, convenient and sustainable open and shared network of parcel machines in Europe.
The Business
Smartmile solves the challenges of last mile delivery by offering our open & shared locker network to all couriers, retailers and consumers. We deliver benefits to all stakeholders:
– consumers can collect and return all parcels from all webstores at one convenient location, never facing missed deliveries again
– couriers deliver parcels and collect returns from lockers, saving 50% of their last mile delivery costs
– retailers hosting the lockers generate instore traffic and provide an additional service to their clients
– cities reduce traffic and pollution from delivery vans
The Market
We address a huge and fast growing market:
– # of parcels delivered in 2018: 9.3 BLN (Europe); 87 BLN (global)
– # of parcels per capita: 12 (2014) –> 23 (2018)
– CAGR 2019-2014 estimated at 13.7%
Target customers: couriers who use our lockers for efficeint delivery); retailers who provide locations in their stores for generating instore traffic. Our USPs:
– hyper connective platform solution that is open to all couriers, retailers and consumers
– proven and scalable international solution
– hardware independent, working with best HW from selected supplier
– neutral player, not tied to a courier, retailer or hardware provider
– SW designed to maximize utilization and ease of use of lockers
– experienced international founder team
Progress/Proof
Our network currently counts 50 lockers, 45 in Finland, 4 in Netherlands and 1 in Germany. We have processed over 130.000 parcels through our network. Our monthly parcel volume is now over 20.000 and growing. Our monthly recurring revenue (MRR) is now € 18K and growing.
We work with major retailers Lidl and Kesko, and major couriers like DHL, DB Schenker, PostNord and others.
We already have concrete opportunity from our current retail and courier partners to expand into the next 200 locations.
Our current funding is € 1.9M from business angels, family offices and corporate partners in NL, FI, DE.
Objectives/Future
We are building the biggest open & shared delivery infrastructure for parcels in Europe by 2023, most awesome for our customers, most efficient for our partners and good for the environment.
We are expanding our locations in Finland and Netherlands through the store network of our current and new retail partners, and growing our parcel volume with the # of locations and the volume per location from current and new courier partners.
Our Software platform is ready, proven and scalable, our roll out processes are proven, formatted and highly automated. Our international team is experienced and ready to go.
Expansion: end of 2020: 300 lockers; 2021: 1500 lockers; 2024: 10.500 lockers; expanding in current and new countries (next Sweden and UK).
Highlights
- Proven and scalable business that provides benefits to all stakeholders
- Most efficient, convenient and sustainable last mile delivery platform
- Working with major industry partners like Lidl, Kesko, DHL and DB Schenker
- Rapidly expanding network in 3 countries
- Proven growth strategy with concrete demand from current partners
The Deal
We are looking for:
– € 500K capital (equity) for team and network operations. Pre-money valuation: € 7.5M. Convertible loan with 6% interest and € 7.5M Cap, or straight equity investment (for investments from € 100K).
– € 500K loan capital for buying the next batch of 40-50 parcel lockers (hardware) to grow our network in NL and Finland. Monthly payment of fixed annuity (principal payback + interest). Interest 8%, loan term 5 years.
Team
Our 3 founders from Finland, Netherlands and Germany come from the industry, with each 25+ years of experience and a global network.
Our team members are entrepreneurs, engineers, creative minds and startup enthusiasts, ready to revolutionize the way parcels are delivered. We share a passion to solve the challenges that parcel delivery is facing today and we’re not giving up before our mission is completed.
The Smartmile team has 16 people in three different locations (Germany, Finland and the Netherlands) and four different teams (Founders, Team Tech, Marketing, Operations).
