Logistics is one of the older, less-understood parts of the commercial world. But with Amazon proving that logistics is worth the effort and investment, and many other companies proving how hard it hits to ignore logistics, many businesses across the world are looking to enter the logistics business.
Berlin-based Sennder, recently announced a round of funding, which they report will be for the digitization and modernization of the antiquated logistics market with a digital platform. Reports surrounding the FTL Dedicated Truckload Freight company’s Series C funding round say that they brought in approximately $70mn.
The funding was led by Lakestar, with several other firms like Accel, H14, Next46, HV Holtzbrinck Ventures, Project A, and even Scania Growth Capital, investing in the startup. Notably, it’s the second round of funding that Sennder ran in 2019, with a Series B financial round earlier in Spring. This investing shows the interest of investors in logistics, which is currently estimated to sit at a value of $400bn in Europe.
Other major funding rounds in the trucking industry include other companies that handle FTL Dedicated Truckload Freight, competing with Sennder in their niche, like US’s Flexport receiving an investment of $3.2bn, the UK’s Zencargo raising $20mn, among others.
This shows how crowded the market really is, and where corporate specializations come into play. For Sennder, they specialize in the FTL Dedicated Truckload Freight market, aimed at the organization, logging and optimization of cargo, with a particular focus on smaller and mid-sized companies.
In Europe alone, that particular sector is estimated to be worth around $120bn. As with other startups, Sennder hopes to bring cloud-based communication and improved tracking and record keeping, as well as better logistical organization to the trucking industry, which has been operating mostly with faxed or shipped invoices, among other archaic methods.
Sennder co-founder David Nothacker states that they’ve pooled together the knowledge that he and the other co-founders acquired, with the goal of improving operations in the trucking industry. He adds that they believe that sennder is leading the way in digitization, and reliability. Nothacker co-founded Sennder alongside Nicolaus Schefenacker and Julius Koehler.