Ardent Capital's Well-Funded Bizzy Enters Indonesia's B2B E-Commerce Market
Ardent Capital enters Indonesia's B2B e-commerce market by unveiling Bizzy. With $2.5 million war chest, Bizzy targets office inventory, supplies, and services needs. The competition is still relatively low, with most e-commerce service set their eye on retail market. In the beginning, Bizzy has already snapped some startups as its early customers.
Speaking about Indonesia's B2B e-commerce market potential, Ardent Capital's CEO Adrian Vanzyl said, “Globally B2B e-commerce has gained massive traction. In Korea we’re talking 91 percent penetration, while in Indonesia this type of e-commerce is in its infancy so the opportunity is huge. Just 11 percent of all startup endeavors in Indonesia are dedicated to B2B.”
Bizzy will be headed by Peter Goldsworthy as CEO. Goldsworthy was initially joine Ardent as the Head of Ardent Labs. The platform is said to carry thousands of products from hundreds of merchants in office supplies, electronics, cleaning, pantry and services. About Bizzy's initiation, Goldsworthy commented, “I was constantly frustrated with ordering supplies and services. In particular I felt the entire process of sourcing, approval and shipping could easily be improved upon."
“Merchants were struggling to meet the needs of businesses. What we were seeing was that the way businesses shop was much more complex than how an individual would and this was causing problems at both ends of the transaction,” he added.
Just like Moxy, Bizzy's fulfillment will be heavily influenced by its logistics sibling, aCommerce. It's also integrating multiple shipments from vendors, usually called "crossdocking".
Not only for corporate clients, individuals can purchase in Bizzy with cheaper price, rather than regular e-commerce market, if buying in bulk (more than 11 pcs). To make it easier for procurement officer who need authorization for every purchasing, Bizzy has already setup two-tier system. Every transaction can be directly authorized by clients' manager in-charge.
Not only offering physical products, Bizzy is to offer service marketplace in the near future, like AC repairing, cleaning services, or even IT supports. About this one particular section, Goldsworthy said, " Some of the services we may offer our own private label service. Most though we will have multiple vendors and work purely as a marketplace."Asked on how to grow Bizzy's business, admittedly they will rely more on marketing effort. Goldsworthy commented they use a lot direct marketing, as well as content marketing, to help introduce Bizzy to corporates.
Given the situation of office procurement in large corporates, Goldsworthy assured, "We have signed agreements to be an approved vendor with public companies and government organisations now. That does require some offline hand holding but is worth the upside when those companies and their branches can then order directly from us."
Obviously it's easier to attract fellow startups in this new business model. Bizzy mentioned it has locked Tiket.com, Traveloka, Halomoney, and Grabtaxi as its early customers.
Based on Google and Millward Brown Digital's B2B marketplace report this year, millennial group (18-to-34 year old age group) will hold greater percentage in company's decision, including purchasing decisions.
“Millennials are now the key decision-makers for company sourcing. This changing of the guard means they expect the same information available for personal purchases when they search for business solutions. Bizzy addresses that need,” Goldsworthy concluded.