Sayurbox: Bringing fresh produce to city dwellers while empowering the farmers who harvest it
About Sayurbox
Sayurbox is an Indonesian farm-to-table ecommerce platform, providing same-day delivery of fresh produce from remote rural areas. It seeks to empower traditional rural villages by connecting them to urban families through digital supply chains.
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Sayurbox developed a same-day farm-to-table ecommerce app, handled 3X demand spike, doubled last-mile delivery speed, and launched a strategic plan to empower rural farmers with Google Maps Platform.
Results:
- Enables more delivery slots by reducing driver assignment planning from six hours to under 10 minutes
- Frees up funds for app development by reducing cost-per-order by 25%
- Brings new logistics capabilities that help make it possible to handle a 3X spike in demand
2x delivery speed enables same-day arrival
Across Indonesia, smallholder farmers in traditional ‘kampungs’, or villages, grow an astounding variety of premium produce from kale to papaya and avocados. Meanwhile, there’s also a surging urban middle class that is looking for healthier and more varied food choices. But what sounds like a recipe for growth and success is often held back by distribution hurdles. "Millions of smallholder farmers can’t take advantage of these opportunities," according to the UN's International Fund for Agricultural Development. "Farmers don’t have logistics infrastructure to sell directly to consumers, leading to multiple middle men, an inefficient supply chain, and high waste."
On a mission to address this need, Rama Notowidigdo and his partners launched Sayurbox. They're opening up opportunities for Indonesia's traditional farmers (who represent a third of the population) by bringing their fruit and vegetables directly to urban tables through an innovative e-commerce solution that relies on digitized supply chains. Sayurbox also sells visually imperfect produce, which might not be accepted for sale in supermarkets due to unconventional shape, size, or color. By lowering prices on imperfect produce for users, Sayurbox absorbs 100% of farmers’ yields so they don’t lose out - and it helps to minimize food waste as well.
In the Sayurbox model, sourcing centers fanning into the countryside take farm goods and intelligently distribute them to one of three Sayurbox sourcing hubs. From there, the produce is sorted, packaged, and delivered the same day to online customers. It's a system that boosts farmer livelihoods while promoting healthy living, with fresh pesticide-free produce to urban consumers.
"In fresh food delivery, it's all about supply chain efficiency. That means we need to maximize speed and minimize costs with zero slack in delivery network. Google Maps Platform provides us the precise location coordinates and optimal routing we need to make our vision of farmer empowerment a viable business."
—Rama Notowidigdo , Co-Founder, SayurboxTo succeed, Sayurbox needed world-class mapping tools to enable optimal supply chain efficiency and prompt same-day delivery, to ensure produce doesn't arrive wilted or spoiled at customer doorsteps. The startup turned to Google Maps Platform and found the solutions it needed to connect kampung traditions to mega-city consumers.
"In fresh food delivery, it's all about supply chain efficiency. That means we need to maximize speed and minimize costs with zero slack in delivery network," says Rama, Co-founder at Sayurbox. "Google Maps Platform provides us the precise location coordinates and optimal routing we need to make our vision of farmer empowerment a viable business."
Optimizing routes to make same-day delivery possible
When Sayurbox launched in 2016, the startup needed two days from online order to doorstep delivery. The platform relied on a network of drivers who had specialized mental maps of delivery zones in Indonesia's chaotic urban clusters. It took more than six hours to manually plan delivery itineraries based on each driver's expertise, effectively wasting a day.
This year, with the help of partner Terralogiq, Sayurbox began deploying Google Maps Platform and achieved an immediate transformation in distribution capabilities, Rama says. With the Geocoding API and Geolocation API, the startup was able to automatically assign itineraries that bundled multiple jobs, performing in under 10 minutes a task that took nearly a day of work. Moreover, the routes themselves were optimized to bring maximum supply chain efficiency, enabling more deliveries and deeper cost savings.
"By allowing us to distribute farm produce automatically and intelligently," says Rama, "Google Maps Platform products such as the Geocoding API and Geolocation API enabled us to create more slots per day for deliveries, directly increasing our revenue."
Absorbing a 3X surge in growth with Google Maps Platform
The results Sayurbox has achieved since adopting Google Maps Platform have been significant. In a sector where success depends on cutting corners at every step of the chain, Sayurbox has achieved nearly 25% savings on the costs of delivering each food order with Google Maps Platform.
When COVID-19 hit, demand for Sayurbox's farm-to-table delivery of fresh locally-grown vegetables rose dramatically, with a three-fold growth in orders, says Rama. Sayurbox was able to meet the quality produce needs of Indonesia's biggest cities, he says, thanks to logistics capabilities enabled by Google Maps Platform.
"Without Google Maps Platform," says Rama, "we wouldn't have been able to handle a situation that created urgent need in cities for quality produce."
Accelerating a journey of Indonesian food empowerment
Rama says that finding the right Google Maps Platform partner for the Sayurbox journey has been key to the platform's success. While people around the world are familiar with the consumer Google Maps features, he says, the technicalities of Google Maps Platform products are a different matter entirely. Through Terralogiq, Rama found that familiarity with best practices for product and feature deployment can lead to better performance and lower costs.
"By allowing us to distribute farm produce automatically and intelligently. Google Maps APIs such as the Geocoding API and Geolocation API enabled us to create more slots per day for deliveries, directly increasing our revenue."
—Rama Notowidigdo , Co-Founder, Sayurbox"When we started using Google Maps Platform, we had no experience with it," says Rama. "At one point we were spending 400 million rupiah per month on the products and features, the equivalent of $30,000. Our partners at Terralogiq enabled us to bring that down to 250 million, about a 40% cost saving while also optimizing the services we can deliver to our customers."
Promoting organic cycles of farming growth
Rama says Sayurbox has only scratched the surface of the growth opportunities it can pursue with Google Maps Platform. The next stage of Sayurbox's evolution will be to develop a driver app that further streamlines assignments and optimizes routing.
The project will enable Sayurbox to work with Terralogiq on adopting advanced Google Maps Platform features such as Traffic Layer in the Maps JavaScript API that brings real-time traffic data into itinerary mapping.
"When we started using Google Maps Platform, we had no experience with it. At one point we were spending 400 million rupiah per month on Maps APIs, the equivalent of $30,000. Our partners at Terralogiq enabled us to bring that down to 250 million, about a 40% cost saving."
—Rama Notowidigdo , Co-Founder, SayurboxBeyond last-mile delivery, Sayurbox plans next to empower farmers with first and mid-mile delivery, both enabled through Google Maps Platform. An app designed for farmers and other producers will give them the fastest, most efficient routes to Sayurbox sourcing centers around the country. This will enable Sayurbox to onboard more farmers, bringing more prosperity to kampung communities, adding more value and variety to urban tables. The goal is to trigger an organic cycle of empowerment, rural growth and healthy city living.
"Indonesia is at heart a farming nation. We want to make farmers proud by bringing their amazing work to as many Indonesians as possible through digital technology," says Rama. "Google Maps Platform helps us energize traditional life through a world-class digital supply chain."
Tell us your challenge. We're here to help.
Contact us
About Sayurbox
Sayurbox is an Indonesian farm-to-table ecommerce platform, providing same-day delivery of fresh produce from remote rural areas. It seeks to empower traditional rural villages by connecting them to urban families through digital supply chains.
About TerraLogiq
TerraLogiq is an IT services company that brings cutting edge digital solutions backed by a steady architectural backbone to global clients.