Contxto – Competition is heating up in Latin America’s last-mile delivery industry. Rappi, the region’s famous “everything app,” is now turning its head to pursue new growth alternatives in the B2B market.
Fresh business model
The Colombian unicorn is apparently launching a new business delivery service called RappiEntrega. So, consumers won’t be the only ones capable of requesting delivery. Now, companies will be able to deliver their goods through Rappi, too.
RappiEntrega will mainly target SMEs and eCommerce companies. So, whether your uncle has a small clothing store or your sister just launched a new Instagram eCommerce account for pet food, this service is convenient for both parties.
Not only does it promise to deliver under 45 minutes but companies can schedule and program delivery times to best match their needs. Interestingly enough, though, RappiEntrega first launched in Chile rather than its native Colombia or largest markets, Mexico and Brazil.
“It’s similar to a delivery service that you can conveniently schedule, giving clients clarity when it comes to knowing the time of arrival,” said Álvaro Ponce, B2B manager of Rappi Chile. “In turn, this provides visibility of the shipment with live tracking.”
Interested parties can access the service simply by signing up online. Users then decide whether it is a single or multi-route delivery. Furthermore, they can choose whether to send it immediately or set specific hours.
“It’s a solution that serves both eCommerce companies that make thousands of shipments as well as SMEs that sell over Instagram,” said Ponce.
Both can designate times for RappiEntrega to make deliveries at specific times, whether it be tomorrow at 5 o’clock in the afternoon at the office or at 8 in the morning at home.
Alternative growth
With over 2 million app downloads across Latin America, the company is eagerly seeking to grow either vertically or horizontally. Besides expanding its delivery service portfolio, Rappi is also acquiring and partnering with some unexpected startups.
After integrating and acquiring PayIt, a blockchain-powered payment processor from Mexico, Rappi has made some interesting partnerships. At first glance, some of these partners may appear to have virtually nothing in common with Rappi.
Take the Brazilian travel platform Voopter, for example. An unexpected match yet now Rappi users can purchase airline tickets over the app. Users can also rent electronic Grin scooters or apparently sign up for classes on Crehana.
Honestly, I tried to locate the new Crehana tab inside Rappi’s app and I couldn’t find it. Also, I have no idea how this will look like or work out. Personally, it seems unorthodox for a delivery company to partner with an edtech startup. But hey, at least Rappi is staying true to its aspiration of becoming a “super app.”
Seems like it is unceasingly trying to find out what consumers want. Meanwhile consumers…
-VC
