Big data for the little guys

• This startup lets manufacturers shop for raw materials such as steel and electrical supplies like you and I do on Shopee / Lazada / Amazon.
• We’re talking about 500-backed B2B e-commerce platform Proglix, Indonesia’s first B2B marketplace that focuses on simplifying the raw material procurement process. 
• The global B2B e-commerce market was valued at US$17.9T in 2021. That’s 5x of the B2C market size! 
• But B2B e-commerce is a little bit more complex than B2C. So, Proglix offers a hybrid model: ordering, tracking, and inventory management can be done digitally, while activities such as price negotiations take place over customer service calls on WhatsApp Business. 
• Co-founder Wynn Nathaniel shared that as Proglix serves a niche industry, their main focus is not on spoiling customers with choices, but on removing the barriers to purchasing raw materials for small- and mid-size manufacturers.
• Most raw material suppliers require a minimum order quantity (MOQ), often more than what small- and mid-size manufacturers need. This leads to them having to purchase materials via brokers and traders, whose supply is limited and prices are higher.
• On Proglix’s platform, supplies can be purchased at any quantity (no MOQ) at prices that are 3% – 5% lower. That translates to significant savings for their customers considering raw materials make up 65% – 70% of the cost of goods sold!
• With brokers often specializing in the supplies they offer, small- and mid-size companies have to work with multiple brokers to purchase everything they need. The Proglix platform efficiently streamlines this process through partnering multiple raw material suppliers, as well as the use of data analytics and forecasting models to offer wider product variety, higher stock availability, and lower prices.
• What’s in store for the team in 2024? Wynn revealed that they are aiming to hit $2-2.5M monthly gross revenue, and raise a Series A.
• Listen to the full interview here.