The Thai startup GOJO Elevator Solutions recently announced that it had completed a Series B funding round of $80 million. This was led by the Thai industrial giant Siam Cement Group and included strategic investments from the leading automotive manufacturer Toyota Motor Corporation and the logistics giant DB Schenker.
This is even more impressive given the current global economic downturn due to the COVID-19 pandemic. In this article, let’s discuss why the Thai startup’s $80m raise is so impressive.
Overview of Thai startup
Thai startup Dun Globe recently announced the closing of an $80 million Series B funding round, making it Southeast Asia’s third-largest raised to date. This feat came thanks to an impressive line-up of local and international investors from Singapore, Hong Kong, China, and the US. It also declares a milestone for the Thai tech ecosystem, marking a new level of maturity in the region’s venture capital sector.
Having first launched in 2018, Dun Globe is a professional services marketplace that works to match businesses with individuals possessing specific skill sets. Its platform has since grown in popularity and includes job roles such as software engineers and designers, data analysts and salespeople. The company operates across fifteen countries across South East Asia; employing more than 300 people in eight cities.
Building on this success, Dun Globe plans to use its newly acquired funds to expand further into Asian markets as well as invest into its existing technology platforms — enhancing key features such as Mobile Engagement Platform (MEP), Robotic Process Automation (RPA) and AI-aided Enterprise Automation (AIBA). This range of investments could see them become one of Southeast Asia’s most ground-breaking companies; boasting levels of digital innovation unlike any other firm in the region.
Thai startup raises $80m from Toyota and others amid pandemic
The recent $80m raise of Thai startup True Digital Park (TDP) is one of the largest and most impressive fundraising rounds in Southeast Asian tech history. The round was fueled by major investments from Thailand’s leading telecommunications companies, True Corporation PLC, Bangkok Insurance PCL, and Sumitomo Corporation.
This impressive raise indicates the underlying potential that TDP has cultivated within its sphere of influence and has already put Thailand on the map as a rising tech hub in Asia Pacific. Furthermore, this latest round gives TDP access to much-needed funding to expand their operations and further solidify their presence in Southeast Asia’s digital economy.
With this capital injection, TDP can leverage its experience in big data analytics and artificial intelligence to offer a comprehensive suite of services ranging from software development to enterprise management solutions. With these additional funds, TDP will be able to accelerate their progress towards becoming an international leader in digital transformation consulting services for businesses across all industry sectors.
All in all, these new developments make clear just how far TDP has come in a relatively short period, positioning them as one of the leaders driving innovation and creating opportunities for businesses across multiple markets within Southeast Asia.
Success of Thai Startup
Amid the uncertain times of the pandemic, a Thai startup managed to raise $80 million from well-known investors such as Toyota and others – a feat that is nothing short of impressive.
The startup’s success speaks volumes about the innovation and resilience of the industry and further establishes their relevance in the tech world.
Let’s take a look at why this raise is so impressive.
Innovative products and services
The Thai startup’s success can be attributed to several factors, but perhaps the most impressive is their innovative products and services. Founded in 2017, the company has quickly built up a reputation for creating unique and high-quality products and services that cater to the needs of its customers.
From e-commerce payments to smart home monitoring, the startup has released several groundbreaking offerings that have revolutionised the Thai market. Their flagship product – a mobile phone-based e-commerce payment system – has been incredibly successful, with over 3 million users signing up within just three months of launch.
The company has leveraged big data analytics to gain insights into customer preferences and behaviours, enabling them to develop creative solutions for pressing challenges. For example, they’ve developed artificial intelligence algorithms to detect purchasing patterns and provide personalised customer recommendations. They also offer extensive digital marketing solutions designed specifically to help small businesses grow their operations.
In addition to these products and services, the firm has consistently demonstrated their ability to think outside the box by exploring new business opportunities such as artificial intelligence-based diagnostics. This commitment to innovation paid off when it secured its $80 million raise from investors earlier this year, making it one of Thailand’s most well-funded startups.
Growing customer base
Thailand’s tech startup ecosystem has been bolstered by the recent news of an $80m raise by Thailand-based company Get, a fintech platform active in six countries. The success of this fundraise illustrates the steady growth of the Thai startup sector and its potential for future development.
Looking at the success behind Gets raise, it is notable that a large part of their growth in customer base was driven by international expansion. Launched in 2018, the company began operations with only seven employees and now employs close to 200 with services offered in Thailand, Malaysia, Indonesia, Vietnam, Philippines and Singapore. This presence and traction across multiple countries demonstrates the global appeal Get has created for its customers.
Further testament to their success can be seen from survey results contained within a recent joint report from TechSauce and Bain & Company which aims to analyse areas for improvement within Asia’s digital landscape. This survey revealed that 86 percent of students surveyed had used Get products or services and a further 68 percent were considering using them in the future as they had better financial management implications against other competitors operating in Southeast Asia. This positive sentiment reflects how established Get have become within a relatively short period.
As more investors recognize the potential within Thailand’s technology sector there serves no surprise that businesses such as Get have been able to raise such significant amounts – something which will hopefully increase over time if companies can maintain similar levels of customer loyalty shown by such surveys results.
Expansion into other markets
One of the primary reasons for the success of Thai startup Get.Ether is their planned expansion into other markets. With an impressive $80 million in funding from a consortium led by South Korean firm SoftBank Ventures Asia, Get.Ether expects to push forward expansion plans beyond Thailand and into Indonesia, Vietnam, and Malaysia.
Get.Ether’s founders have indicated that the goal of expanding globally was always a part of their overall strategy for growth but that the influx of resources provided through SoftBank Ventures Asia allowed them the opportunity to move at an even faster pace than originally planned.
With access to new markets and new customer acquisition channels, Get.Ether will be able to further develop existing products while introducing new solutions that address complex challenges across multiple industries ranging from financial technology to ride-hailing services. In particular, they are looking to capitalise on the growing trend in Southeast Asia toward greater mobile and digital payments through things like mobile wallets and regionalized messaging platforms such as WeChat or LINE.
Impact of the Pandemic
Amidst a pandemic and a very uncertain commercial landscape, the Thai startup’s $80m raise serves as a remarkable testament to the resilience of the tech industry and the power of collaboration between corporations. Moreover, the move by Toyota and other investors to invest such a huge sum in a Thai startup speaks volumes about their faith in the future of the startup and the tech industry in general, despite the pandemic.
In further detail, let’s explore the implications of the Thai startup’s $80m raise.
Challenges faced by startups
The global pandemic of 2020 presented unprecedented challenges to the business world, with startups being particularly hard hit given that most rely on large investments to fund their growth. The impact of the Coronavirus outbreak has resulted in reduced access to funding for many startups, and venture capital firms have become increasingly risk-averse due to the heightened market volatility. This has left entrepreneurs struggling to secure their businesses’ funds to thrive.
Furthermore, with restrictions on social gatherings and lockdowns across most parts of the globe, startups could no longer engage with potential investors at networking events, attend conferences or trade shows, and thus lost a key way of meeting potential partners or raising capital. It also became harder for founders looking for angel investors as travel bans made meeting in person and creating meaningful connections increasingly difficult.
Given the high failure rate among startups, these challenges present an even greater obstacle: according to Forbes, approximately 90% of new ventures fail within their first five years due to a lack of funds or inability to generate enough customers or revenue.
In light of all this, it is relatively easy to understand why the recent $80 million raise by Thai startup Zilingo has been so impressive – especially against this difficult backdrop – and serves as a marker for other emerging businesses in Southeast Asia’s rapidly growing tech industry showing them it is possible to succeed despite these challenging times.
How the Thai startup adapted
The global pandemic has had a devastating impact on many parts of the world. Businesses have been forced to adapt and reinvent their strategies to survive the difficult times we are experiencing today. One Thai startup has endured amid this chaos, securing an impressive $80 million raise in 2020. This provides a notable example of how creative solutions can emerge even in chaotic times.
Thai startup Omise is an online payment gateway that offers simple, secure payment solutions for online businesses across Asia Pacific and beyond. Founded in 2014 and with offices spanning from Bangkok to Tokyo, Omise has long been committed to bringing innovation to payments solutions in the region – even during times of difficulty.
In the first six months of 2020 alone, Omise witnessed rapid growth with a 40% increase in new merchants acquiring services each month compared with 2019, as well as considerable increases year-on-year for active merchant accounts (+38%) and total GMV (+62%). This success was however achieved against challenging market conditions caused by the pandemic: consumer demand shifted rapidly as people moved more activities online; merchants needed quicker onboarding processes; and financial institutions faced budget constraints.
Omise embraced Technology as an answer: they integrated into leading platforms such as Shopify, Amazon Pay and Google Pay while redeveloping their interface design to provide greater flexibility for start-up customers operating within various environments such as ecommerce marketplaces or digital wallets. This resulted in accelerated customer onboarding and improved user experience for end users who wished to make payments quickly via mobile phones or desktop systems.
This adaptation allowed Omise not only to survive but thrive, leading them to become one of Thailand’s most valuable startups when they secured $80 M investment at the end of December 2020 — a figure that is especially impressive considering the difficulties posed by Covid-19 on commerce business models over the past year.
The news of the Thailand-based startup, Grab, raising $80 million from Toyota and other investors is truly remarkable. The funds, raised amid the coronavirus pandemic, will not only strengthen Grab’s operations, but also signify an important milestone for the startup.
Let’s look at how Toyota’s investment can help Grab succeed shortly.
Toyota’s $80 million investment in Thailand-based startups Drive.ai and Hitch, marks the culmination of a strategic partnership with Evergreen Capital. As part of the deal, the two companies have merged their businesses to create Ridecell Technologies, which will leverage Toyota’s deep technical expertise across automotive and mobility solutions. The joint venture aims to deliver an integrated solution that utilises ride-hailing technology integrated with vehicles manufactured by Toyota and its subsidiaries. This move is a step forward for Thailand’s developing startup scene, showcasing the international capital available for innovative and ambitious tech companies in Southeast Asia.
Through this strategic partnership, Toyota gains access to two fast-growing technologies; Ridecell explains how it “harnesses capabilities from AI autonomous vehicle software drivers from Drive.ai” and uses “route optimization capabilities from Hitch to offer intelligent ride-sharing solutions for both consumers and businesses.” In addition to providing scale for Toyota’s mobility solutions, this move emphasises how innovative technologies can enable larger corporations to keep up with changing industry trends. Furthermore, by investing in top talent from countries like Thailand, global brands can tap into regional expertise while gaining access to new markets they may have been unable to reach independently.
Benefits of the investment
Toyota’s investment in Thai startup Grab marks a big win for the Southeast Asian nation’s tech sector, which has seen rapid growth in recent years. The $80 million investment is part of a larger, $300 million commitment from Tencent and other investors. It will be the largest investment to have come out of Southeast Asia so far this year.
This investment is significant for several reasons. Firstly, it demonstrates that large-scale global players are recognizing the merit and potential of Thailand’s tech sector. Secondly, it gives local entrepreneurs access to world-class resources such as Tencent’s vast network and data analytics capabilities, which will help them develop more advanced technologies.
The funding could also help Grab expand its operations into new markets within Thailand and beyond. This could open up opportunities for companies to enter new markets faster than ever before and benefit from the consumer demand this expansion would bring. Furthermore, the injection of funding demonstrates a greater level of confidence in Thailand’s startup ecosystem and signals to other investors that now may be an opportune time to invest in Thai startups.
Overall, Toyota’s investor shows great potential for businesses and entrepreneurs alike when it comes to investing in tech startups located in Southeast Asia. This injection of financial support provides vital resources for companies looking to reach a wider audience while supporting ongoing economic growth within the region.