Despite the pandemic, Otoklix said it has grown its revenue by 13x and its customer base by 40x between April and October 2020
Otoklix, an Indonesian tech startup offering online-to-offline digital solutions for the automotive aftermarket, announced today it has secured a round of investment by Sequoia Capital India’s Surge. This brings the total funds raised to date by the one-year-old startup to US$2 million, whose other investors are GK Plug and Play, Founders of Kopi Kenangan, Lentor Ventures, Noble Star Ventures and Andree Susanto, and Founder of Waresix.
With the fresh capital, Otoklix is targeting 500 partner workshops, 100,000 monthly cars serviced, and 75 per cent wallet share of partnered workshops total procurement by December 2021.
The firm is part of the fourth cohort of Surge, a bi-annual rapid scale-up programme for startups in Southeast Asia and India.
In Indonesia, servicing cars can be a cumbersome process. Visiting authorised dealers involve high costs and long queues while getting cars fixed at independent workshops can expose car owners to fraud risk, lack of standardisation and poor after-sales service. Despite controlling 80 per cent of the total market in Indonesia, many of these workshops still manage transactions offline, restraining growth and margins.
“Indonesia’s automotive aftermarket sector is somewhat fragmented, creating numerous pain points for consumers due to a lack of information transparency, but it is also a relatively underestimated market that holds great potential,” said Martin Suryohusodo, Co-founder of Otoklix.
“When we look at the US market, shared mobility has positively impacted aftermarket spending by over 150 per cent, and this has really inspired us for the future in Indonesia. Our mission is to help mom-and-pop workshops through standardization to make the automotive service experience accessible and hassle-free for the wider community,” he added.
This is where Otoklix’s services come in handy.
Founded in 2019, Otoklix claims it bridges the gap between automotive vehicle owners and Indonesia’s fragmented independent car workshop sector, improving vehicle maintenance experience for consumers and equipping workshops with business software solutions and procurement savings.
Otoklix claims it has more than 100 active workshops and currently services 10,000 cars monthly.
For vehicle owners, Otoklix claims its mobile app simplifies vehicle maintenance, allowing users to book services at any recommended independent workshop nearby and receive a standardised price and service level.
Car owners also receive a warranty for any transaction at an Otoklix partner workshop and can track their repair and maintenance history within the app.
For independent car workshops, Otoklix provides customer relationship management (CRM) and supply chain management (SCM) solutions to increase topline, margin and operational efficiency. Workshops also receive procurement savings by streamlining their car parts procurement directly from manufacturers to workshops.
Despite the pandemic, the company said it has grown its revenue by 13x and its customer base by 40x between April and October 2020.
Otoklix claims it is on a growth trajectory to become the largest aftermarket service network in Indonesia, which will have 20 million cars on its roads in the next five years.
Indonesia’s automotive aftermarket sector is projected to reach US$15 billion in value by 2025.
Otoklix is one of our portfolio startups in Plug and Play APAC.
This article was written by Tun Yong Yap This article can found on e27.co, e27 aims to foster thought leadership by publishing contributions from the community. To view the original source of the article, click here