Devrishi Arrora, Pragya Mittal and her husband, Vineet Mittal have been close friends for more than 10 years. In the last five years, Devrishi provided logistics services to transport solar panels produced in the hands of Vineet and Pragya’s firm NavitasGreen Solutions Pvt. Ltd.
The group honed in on a brand new business plan in the midst of the security measures as the logistics industry witnessed an unprecedented increase as online deliveries became the norm in every household.
Moving ahead, Pragya and Devrishi felt it was necessary to speed up the creation of a nationwide infrastructure for sustainable, green logistics services. Then, in July of 2021, the duo started Surat-based green logistics firm called EVIFY.
It is the B2B startup is an “full-stack technology-enabled green logistics company that offers end-to-end first, middle, final-mile and first-mile solutions for logistics.
In operation with a presence in Surat, EVIFY blends logistics solutions and technology to provide various options to delivery companies in FMCG as well as e-commerce and other sectors that are eager to replace conventional vehicles with electric vehicles.
What problem does it address?
The logistics solutions of EVIFY provide businesses with access to complete fleet management and battery management, driver management, as well as technology solutions like Telematics. It also assists with loan and financing management as well as credit risk analysis and crucial fleet insight.
“Our technology platform provides customers with the choice and flexibility of choosing the right transportation and personnel who are best suited for their specific needs. The battery management system integrated (BMS) and the sensors within the vehicle record all information about the health of the battery such as charging ratios, the time spent at each authorized location Geo-fencing, the driver’s riding patterns, and the exact location of the driver.” states Devrishi the Founder and Chief Executive Officer of EVIFY.
The data is transferred in real-time. This allows needed adjustments to the product or service and improvement of the quality.
Eveeto serves as the logistical part of EVIFY and is focused on the processes involved in the acquisition of EVs, maintenance of vehicles and the delegation of the demand to meet client demands. Eveeto is also focused on hiring and managing the drivers who drive EV, and making sure every delivery is at the right time.
EVIFY is currently focussed specifically on Tier II India, prioritises economic sustainability and environmental sustainability.
“We will be using only sustainable efficiency and operational models. Along with transport, we offer personal assistance (vehicles and chauffeurs) to our customers,” states Devrishi.
The company has recently reached agreements with Hero Electric to purchase 1,000plus electric scooters over the next two years.
“We are determined to trigger an era of change of the Indian logistics industry in order to combat the issue of global warming. EVIFY plans to install solar panels on rooftops of its offices, warehouses and parking areas to cut down on their carbon footprint.” says Pragya Director and Co-founder of EVIFY.
EVIFY was selected as one of the 500 companies to be included in The Climate Tech 100, a list of the top 100 climate technology companies in India that are based on the research and analysis conducted of Energy Alternatives India (EAI).
What is the function of the product?
Devrishi states that a variety of logistics companies are in operation on the market, however none of them are focused on environmental impacts.
“EVIFY considers how it can keep its operations value-based and green to reduce energy waste and carbon emissions.”
The logistics company has invested a lot of money in the development of a full-stack platform that gives end users a variety of insight into their fleet. It is involved in R&D to improve the efficiency of its own batteries through the use of smart BMS devices that collect vital information.
The company owns its own dashboard and application to monitor drivers’ performance.
To lessen the anxiety of range travel and improve overall performance of the fleet, EVIFY will continue to place smart charging stations at the most prominent locations in cities where it’s in operation.
“We are working on a feature that will allow drivers to begin the car if the QR code that is on the vehicle is scannable via the EVIFY’s Rider App. EVIFY is continuing to step up its offerings in all areas by constantly adding new tools to assist clients and their backend employees,” Devrishi says.
Market potential and momentum
According to a study by RedSeer the marketplace for last mile delivery in India will grow to $7 billion by 2024.
NITI Aayog suggests that increased EV adoption could reduce the cost of logistics in India and may reduce them at the very minimum 4% of India’s GDP.
EVIFY is getting more attention because it allows companies to cut operating expenses, improve the profitability of their operations, and also reduce total carbon emission.
“As a green logistics business, EVIFY wants to electrify the first-mid-last mile delivery in India through providing all-in-one logistics solutions. In offering EVs and charging stations delivery workers, green warehouses, we want to transform the entire industry,” Pragya says.
The startup currently is home to 80-90 people, with a driver fleet.
“EVIFY is in the process of delivering greater than 1.5 million packages before the end of this year. Similar to traditional logistics could have led to around 1392 tons of carbon dioxide emissions. The EVIFY fleet’s EV fleet ensures that deliveries generate 262 tonnes of carbon dioxide emissions,” Devrishi says.
Revenue and business model
EVIFY is a B2B-based model, and is working with a pay-per-delivery system. It is planning to introduce the EV rental service in the next few weeks.
Devrishi Explains, “The leasing model is beneficial for startups and companies seeking to reduce their assets inventory. It is helpful to find someone who will add these assets to their books, while we lease these vehicles. Investors can benefit from depreciation and GST credits, as well as monthly rentals as well as other benefits.”
EVIFY will be able to avoid the large cost of capital expenditures for the purchase of these types of vehicles. You can also put the money back into the overall operation.
“This also makes it easier for companies and startups to expand initially,” Devrishi says.
In the past, the company has partnered with companies such as BigBasket, Swiggy, and Ecom Express. In the near future, it will begin collaboration together with Flipkart, Delhivery, Porter and Shadowfax.
The revenue model is based exclusively on dedicated riders with fixed monthly income and paying per delivery as well as rental. In the first few months it has delivered 88,000+ green deliveries over more than 485,000 km.
“EVIFY is a new company which will be completing it’s first year operation in September. But, it’s witnessed steady growth, month after month. We’re targeting an MRR of $250,000 , or $3 million at the end of March,” Devrishi says.
Finance and the future
It was initially a bootstrapped business with a capital investment of $70,000 The logistics company in August 2022, raised 100,000, led by Gaurav Singhvi from We Founder Circle and other investors, such as Gaurav Juneja, and Saurabh Agarwal.
It is planning to purchase around 2,000 electric vehicles by the end of March 2023. It also plans to increase it’s presence to Ahmedabad, Vadodara, and Rajkot.
Demand for goods and services is increasing, which has led founders to think about raising more funds within two months.
EVIFY is also seeking to hire more drivers to its partners. The company hopes to recruit around 2,000 drivers, at least 15 percent of whom are women in March 2023.
In the event that demand continues to grow it is expected to grow the number to 10,000 drivers within the next two years.
EVIFY competes against players such as Zypp Electric Loadexx, Lightning Logistics and Moeving and many others.