In this interaction with StartupTalky, Zaiba Sarang, Co-founder of iThink Logistics, shares her journey of creating a tech-driven logistics platform. iThink Logistics is one of India’s most popular shipping software, offering innovative logistics solutions to over 26,000 pin codes in India.
She discusses how the company addresses industry inefficiencies by leveraging AI to improve real-time tracking, optimise delivery routes, and reduce RTO for e-commerce businesses. Sarang also sheds light on the company’s expansion plans, the challenges women face in securing funding, and offers advice for aspiring entrepreneurs looking to make their mark in the tech and logistics sectors.
StartupTalky: What inspired you to start iThink Logistics, and how did you conceptualize the brand?
Ms. Sarang: iThink Logistics was born out of a need to address the inefficiencies we observed in the logistics sector, particularly for e-commerce businesses. We envisioned a platform that could simplify logistics, provide real-time visibility, and offer personalized solutions tailored to the needs of Indian businesses. The idea was to create a brand that stood for innovation, reliability, and customer-centricity, helping businesses of all sizes optimize their supply chain operations.
StartupTalky: What is the USP of iThink Logistics that sets it apart from competitors in the logistics industry?
Ms. Sarang: Our USP lies in our technology-driven approach and our step patented NDR process which reduces the RTO of our sellers by a big margin. iThink Logistics integrates advanced AI and machine learning algorithms to implement real-time tracking and predictive analytics. Additionally, our platform is highly customizable, allowing businesses to tailor logistics solutions according to their unique needs. Our commitment to transparency, customer support, and seamless integration with multiple carriers also sets us apart in the industry.
StartupTalky: Can you outline your current expansion plans and the business model that supports them?
Ms. Sarang: We are focused on expanding our footprint in Tier 2 and Tier 3 cities across India, as well as increasing serviceability to more countries. Our business model is built on scalability, leveraging a cloud-based platform that allows for easy integration and expansion. We’re also enhancing our AI capabilities to support this growth, ensuring that our platform remains agile and responsive to market demands.
StartupTalky: What are the latest advancements in AI technology in logistics, and how are they integrated into your platform?
Ms. Sarang: Recent advancements in AI, such as predictive analytics, and autonomous sorting systems, have been game-changers for logistics. At iThink Logistics, we’ve integrated these technologies into our platform to offer features like Connect+ for efficient order confirmation, WISMO for real-time tracking, and NDR for managing undelivered shipments. These tools help us streamline operations, reduce delivery times, and enhance customer satisfaction.
StartupTalky: How does your technology address common challenges in the logistics and shipping industry?
Ms. Sarang: Our platform addresses key challenges such as lack of transparency, and delays in delivery. By utilizing AI and machine learning, we can predict potential delays, optimize delivery routes in real time, and provide customers with up-to-date information on their shipments. This not only improves operational efficiency but also builds trust with our clients by ensuring consistent and reliable service.
StartupTalky: What growth opportunities do you see for AI-enabled courier platforms in the next 2 years?
Ms. Sarang: The next two years will likely see significant growth in AI-enabled courier platforms as more businesses recognize the value of automation and data-driven decision-making. We expect to see AI playing a crucial role in last-mile delivery optimization, demand forecasting, and personalized customer experiences. There’s also potential for AI to revolutionize cross-border logistics, making international shipping more efficient and cost-effective.
StartupTalky: How can AI help MSMEs select the right logistics partner for their needs?
Ms. Sarang: AI can analyze vast amounts of data to provide MSMEs with insights into the performance, reliability, and cost-effectiveness of different logistics partners. By using predictive analytics and machine learning, AI can recommend the best partners based on specific business needs, such as delivery speed, geographical reach, or cost constraints. This allows MSMEs to make informed decisions, ensuring they choose the right logistics partner to support their growth.
StartupTalky: What are the key tools and technologies that drive your daily operations and success?
Ms. Sarang: Our daily operations are powered by a suite of advanced technologies, including real-time tracking systems, and automated billing and remittance tools. Additionally, we rely on cloud computing for scalability, data analytics for performance monitoring, and customer relationship management (CRM) systems to ensure we maintain strong connections with our clients.
StartupTalky: Can you share details on reaching the 100 crore milestone for FY 23-24 and its significance?
Ms. Sarang: Reaching the 100 crore milestone for FY 23-24 is a testament to our team’s hard work, our commitment to innovation, and the trust our clients place in us. It signifies our ability to scale effectively while maintaining high standards of service. This achievement also reflects the growing demand for efficient and reliable logistics solutions in India, especially in the e-commerce sector. Our growth has doubled every Financial year and we aim to achieve that this fiscal year as well.
StartupTalky: What challenges do women face in securing funding for their businesses, and how can these be overcome?
Ms. Sarang: Women often face challenges such as gender bias, limited access to networks, and a lack of mentorship when securing funding. To overcome these obstacles, it’s crucial to build a strong business case, seek out supportive networks and mentors, and advocate for more inclusive funding practices. Additionally, fostering confidence and resilience is key to navigating these challenges successfully.
StartupTalky: What advice would you give to aspiring entrepreneurs looking to enter the tech and logistics sectors?
Ms. Sarang: My advice is to stay curious and adaptable. The tech and logistics sectors are rapidly evolving, so it’s important to continuously learn and embrace new technologies. Focus on solving real-world problems with innovative solutions, and don’t be afraid to take calculated risks. Building a strong team and fostering a culture of collaboration will also be critical to your success.
E-commerce has revolutionized the way we shop, with online marketplaces and services becoming an integral part of our daily lives. From ordering groceries to purchasing electronics, the convenience of online shopping has transformed the retail landscape. Behind the scenes, the transportation industry plays a crucial role in ensuring these goods are delivered to our doorsteps in a timely manner.
One prominent name in this industry is FedEx, a global leader in logistics and courier services. In this article, let’s learn about FedEx, including how it started, its business and revenue model, and more.
FedEx is a global courier company that has seen success in recent years due to the growth of online shopping. It is a global provider of transportation, eCommerce, and business services, offering customers an extensive portfolio of services. FedEx operates its own companies, which include FedEx Services and FedEx Freight. The FedEx Services segment consists of the company’s package delivery business and freight forwarding services. The FedEx Freight segment consists of the company’s truckload freight operations and other companies within the holding group.
The company delivers packages to customers’ doorsteps, wherever they are in the world. As online shopping continues to grow, this has meant more and more parcels for FedEx Corp drivers, whom investors have applauded for their cutthroat efficiency. FedEx companies include FedEx Express, which focuses on air delivery services; FedEx Ground, which specializes in ground shipping; and FedEx Freight, a heavy freight service. FedEx’s deep industry expertise and well-established logistics supply chain make it a leader in eCommerce and help it tap into customers’ needs. Its success has been reflected in its stock value and profit forecasts. The company is also one of the biggest rivals of United Parcel Service (UPS).
How to Ship a Package With FedEx
FedEx – Industry
Transportation and eCommerce services have a promising future in the US with the introduction of drone delivery systems. Many brands are now utilizing these services to meet consumer demand, and logistics companies are increasingly turning to channel sales for delivery services. Same-day deliveries are becoming more common as consumers expect quick service from their favorite brands. With enough potential seen in this new technology, tech giants like Amazon are investing heavily in drone delivery systems and seeking ways to reduce shipping fees for consumers.
Logistics companies are already implementing various cloud service providers to facilitate the transportation industry’s digital transformation. The increasing use of automation and analytics in the transportation industry is enabling businesses to optimize their profit streams while providing better customer service. In addition, party logistics, warehousing, and supply chain have been revolutionized by tech startups that are providing efficient solutions for the transportation industry. This has enabled commerce supply chains to become more seamless, cost-effective, and secure for both consumers and businesses alike.
As commerce fulfillment services continue to develop, they will open up new career opportunities and allow entrepreneurs and business owners alike to establish operations that are more efficient than ever before. Furthermore, there is potential for greater innovation in supply lines that could benefit both producers and consumers by providing better access to goods at a lower cost.
The market for worldwide eCommerce logistics, which was estimated to be worth USD 315.82 billion in 2022, is projected to grow at a CAGR of 22.3% from 2023 to 2030.
The foundation of the company dates back to Little Rock, Arkansas in 1971. It was founded by Frederick W. Smith.
Frederick W. Smith
Frederick W. Smith – Founder and Executive Chairman, FedEx
Frederick W. Smith is the founder and Executive Chairman of FedEx, a renowned logistics and courier company. Born in 1944, Smith hails from Memphis, Tennessee, and holds a Bachelor’s degree in Economics from Yale University. He served in the U.S. Marine Corps for three years. After that, with his visionary leadership and entrepreneurial spirit, Smith established FedEx in 1971, revolutionizing the transportation industry and pioneering the concept of overnight express delivery. Smith stepped down from the position of CEO in June 2022, to become the Executive Chairman and was replaced by Raj Subramaniam.
Raj Subramaniam
Raj Subramaniam – President and CEO, FedEx
Raj Subramaniam is currently serving as the President and Chief Executive Officer of FedEx Corporation. With a wealth of experience in the logistics sector, Subramaniam has been instrumental in driving FedEx’s global strategies and operations. He holds a Bachelor’s degree in Chemical Engineering from the Indian Institute of Technology (IIT) and a Master’s degree in Chemical Engineering from Syracuse University. Subramaniam’s expertise and contributions have been vital to FedEx’s continued success as a leading player in the logistics and e-commerce space.
FedEx – Startup Story
The company was founded in Little Rock, Arkansas, in 1971 as Federal Express Corporation. FedEx’s startup story began in 1971 when Smith conceptualized the idea of an urgent delivery system in a term paper. Despite initial doubts, Smith founded Federal Express Corporation in Little Rock, Arkansas, and began formal operations in 1973 after moving to Memphis, Tennessee. With a focus on providing reliable and efficient delivery services, FedEx quickly gained momentum, reaching a billion dollars in revenues by 1983. The company expanded globally, acquiring major competitors like Flying Tiger Line in 1988 and officially adopting the nickname “FedEx” in 1994 for marketing purposes.
FedEx is a leading provider of express shipping services within the express shipping industry. It is a major player in the parcel service and package delivery markets. In the industry, FedEx has set the standard and is now a direct competitor of the global leader, United Parcel Service (UPS). By becoming a global leader in express shipping, FedEx has set a new standard for the entire industry and created an ever-evolving marketplace for its customers.
Today, FedEx is recognized as a global leader in logistics and courier services, with a remarkable journey that showcases the power of innovation and perseverance.
FedEx – Mission and Vision
The mission statement of the company reads as follows: “FedEx Corporation will produce superior financial returns for its shareowners by providing high value-added logistics, transportation, and related business services through focused operating companies.” The reputation of the company has been growing at a notable rate for the past few decades, so the company must keep up its value-based services.
The vision is to be a dynamic and progressive courier service firm that leverages technology and impacts the lives of all people.
FedEx – Name, Tagline, and Logo
FedEx Logo
FedEx was first named Federal Express Corporation, and this name continued till 1997. Later, the company was called FDX Corporation until 2000 and now it’s called FedEx. Still, the trade name of the company is FDX.
FedEx logo seems tricky with its optical illusion. There goes a little white arrow between E and X, which depicts the speed, accuracy, and perfection of its services.
The tagline of FedEx is “Where now meets next.”
The slogans of the company are quite fascinating, like ‘Relax, it’s FedEx’, ‘The World On Time’, ‘We Understand, ‘We Live To Deliver’, and ‘Where Now Meets Next.” This feels like an energy-driving force, and so does the company.
FedEx’s business model and revenue model encapsulate FedEx’s capability to allow customers to ship goods worldwide. The business model of FedEx is based on four segments which are: Express segment, Ground segment, Freight segment, and Services.
The Express Segment provides customers with the largest express transportation network in the world with access to more than 220 countries and territories. It also provides international shipping services, retail access, and other value-added services. The Ground Segment provides customers with cost-effective delivery options for shipments within the United States. The company’s business model is based on providing package delivery, freight services, and supply chain solutions to commercial trade across the globe.
FedEx – Revenue Model
FedEx generates revenue from its Express business, which includes domestic and international package delivery services. The company’s revenue model is based on three main services: transportation, eCommerce, and business solutions. FedEx also has subsidiaries such as FedEx Logistics and FedEx Trade Networks, which provide additional services such as global supply chains, customs brokerage, and freight forwarding. FedEx collaborates with other businesses to provide delivery services in other countries, and its recognized brand and worldwide hubs in over 220 countries and territories make it a leader in package delivery and business services.
FedEx – Employees
FedEx provides great deals to their employees for traveling. It also offers other common benefits like insurance policies and soft skill training. FedEx also allows its employees to pursue their education through the education assistance scheme.
FedEx – Challenges Faced
The complaints regarding the delay in the shipment process due to the pandemic, natural calamities, or any other natural reasons are a challenge that the company has faced.
FedEx – Acquisitions
FedEx Corporation, one of the first major shipping companies, has made a new acquisition of FedEx Express. This acquisition will enable the company to offer overnight delivery services and international freight shipping. In addition, it will expand its package delivery and air delivery services for customers. FedEx Logistics (formerly FedEx Trade Networks), a subsidiary of FedEx Corporation, is now an integral part of the company’s air network. It offers logistics solutions for international trade networks and customs brokers that are tailored to their customers’ needs.
In 2020, FedEx acquired Tiger International and Flying Tiger, two international parcel delivery companies. This acquisition allowed it to expand its international delivery capabilities. FedEx also acquired P2P Mailing, a logistics company that provides last-mile delivery options for customers. Additionally, the acquisition of an eCommerce company and retailer will provide customers with more options for delivery. Finally, through the acquisition of Tiger International and Flying Tiger, FedEx will be able to better serve consumers with air cargo airline services.
FedEx – Growth
The FedEx Corporation is a global transportation services company with multiple subsidiaries, such as FedEx Supply Chain, FedEx Office, and FedEx Ground. It is the main competitor of UPS and its stated purpose is to drive growth by expanding its retail outlet network. The company acquired Rapidao Cometa in Brazil to strengthen its presence in the country’s express delivery market. The company also plans to expand its FedEx Freight business in Europe and Asia-Pacific regions.
The acquisition of Gencos and Supaswift will help expand FedEx’s portfolio and Gencos’ expertise in supply chain services, while the move to acquire P2P’s capabilities will complement the company’s existing service offerings. In addition, the company’s strategy to represent Supaswift in Africa is a major step forward in its efforts to expand its African network.
FedEx – Competitors
The growing demand for supply chain services in the retail eCommerce sector has driven FedEx to invest heavily in automation, increased digitization, and options for warehouse automation. These measures have allowed FedEx to remain competitive with competitors like UPS and Amazon. The main competitors for FedEx also include DHL Supply Chain, APL Logistics, Agility Logistics, and Hub Group.
FedEx has been recognized as one of Fortune Magazine’s 100 best companies to work for in 2020. It also won the best work-life balance award in 2019. FedEx has the best rankings for CEOs and satisfied employee ratings.
FAQs
What does FedEx do?
FedEx is a global courier company that has seen great success in recent years due to the growth of online shopping. It is a global provider of transportation, eCommerce, and business services, offering customers an extensive portfolio of services.
When was FedEx founded?
The foundation of the company dates back to Little Rock, Arkansas, in 1971.
Who is the founder of FedEx Corporation?
Frederick W. Smith is the founder of FedEx Corporation.
Who is the CEO of FedEx Corporation?
Raj Subramaniam is currently serving as the President and CEO of FedEx Corporation.
Avinash kumar mahato
