Maersk has identified an Australian logistics start-up for its latest tech investment.
Sydney-based Loadsmile announced today it has secured A$2.8m ($2m) in seed funding and renamed itself to Ofload. Investors are A.P. Moller – Maersk’s venture arm Maersk Growth and Global Founders Capital.
30% of trucks in Australia are running with empty loads
The start-up, which launched in February, describes itself as focused on “tackling waste and empowering the long tail of small to medium-sized players in the road freight industry”. It has created a digital road freight platform matching shippers with hauliers.
Geoffroy Henry, co-founder and CEO of Ofload, commented today, “Fundamental issues such as incredible amounts of waste, increased overheads and a legacy power imbalance are holding back Australia’s road freight and shipping industries at a time where efficiency is absolutely key. Ultimately, transport companies want to reduce these inefficiencies and create a more sustainable industry, and we are making this possible, no matter their size.”
Jeppe Høier, a partner at Maersk Growth, said targeting the inefficiencies in the trucking industry with a solution fits Maersk’s container logistics integrator strategy.
“We have monitored this space for years and invested in teams around the world succeeding in bringing shippers and carriers into the digital world,” Høier said.
According to Ofload, there is a significant issue of wastage in the road freight industry—millions of empty kilometres are being driven, trucks are underutilised, and overheads have increased. Some 30% of trucks in Australia are running with empty loads, and even when a truck has a load, it is rarely entirely full. On average drivers and trucks spend 2.8 days per five-day week – 40% of their time – without work.