Rivigo is now among the top-5 players in surface transport industry, Places 1200 CVs worth Rs 500 crore orders from Ashok Leyland
Date: Aug 15 , 2016
New Delhi: By placing the big ticket order of 1200 medium and heavy commercial vehicles with Ashok Leyland Ltd, Rivigo is now among the top-5 players in the surface transport industry, which is otherwise dominated by small fleet owners with an average fleet size of 5-10 trucks. The value of the order is estimated to be around Rs. 5000 crore.
Adding the 1,200 additional vehicles will increase the Rivigo's fleet size by 80 per cent to 2,700 vehicles in the next 6-7 months.
After 2012, when Siddhivinayak Logistics of Gujrat bought 1300 trucks from Tata Motors, this is the single largest commercial vehicles purchase order placed by Rivigo.
Deepak Garg, Founder and Chief Executive Officer, Rivigo said, "At Rivigo, it's very important to us to demonstrate our commitment with action, which is why we aim to have the largest fleet in the industry. This order is a testimony of our commitment to offer the best in services and thus create value for our customers."
Headquartered in Haryana (Gurgaon), Rivigo has introduced a "Driver Relay" model and integrating technology with it to ensure delivery times that are 50-70 percent lesser than traditional trucking companies. The company is rapidly expanding its market reach.
Talking about the Boss model from Ashok Leyland, Mr. Garg, said "We have been using Ashok Leyland vehicles and are pleased with the quality, engagement and after-sales services. We appreciate the commitment by Ashok Leyland in helping us become a specialist and India's fastest growing surface transport company. Through this order we further strengthen our relationship with Ashok Leyland."
The logistics sector, which otherwise is dominated by unorganised players (80 per cent), is seeing an increase of participation from organised players who see better prospects after the passage of the GST Bill. The sector, in fact, is seen to be one of the biggest beneficiaries of GST, and is estimated to save a potential $200 billion worth of wasteful inventory once GST kicks in, Garg said.
Commenting on GST he said that the Indian logistics sector can fulfill India's GST dream by enabling shorter, predictable transportation lead times, by adopting zero warehousing as the best warehousing strategy, and by building transparency and visibility of inventory through extensive use of technology.
Rivigo has disrupted the surface transport industry by introducing a revolutionary "Driver Relay" model and integrating technology with it to ensure delivery times that are 50-70 percent lesser than traditional trucking companies. It is rapidly expanding its market reach and is already one of the largest logistics service providers in India that operates across diverse segments like e-commerce, pharma, F&V, textiles, electronics, and consumer durables