Teleport is making affordable next-day delivery a reality for all businesses in Southeast Asia, with the target of delivering two million parcels daily by 2025, on par with global express players.
The market is at an inflection point – there is more cross-border e-commerce volume flowing into Southeast Asia than ever before – key e-commerce lanes between China and the top five Southeast Asia countries is expected to grow to USD 3.8 billion in freight value in 2025. Cross border e-commerce volume by air is forecasted to grow 20%-25% through to 2027, reflecting continued market growth in the region. With increased market demand and growth, consumers have increasing expectations for faster yet more affordable delivery.
“The market is ready. We are ready. We want to change the game of how cross border logistics is delivered in Southeast Asia. Delivering fast, affordable and reliable service is hard but we believe our approach can make this a reality for all. Controlling the right hybrid belly network, enabled by the right use of technology, and the right operating model provides our customers and partners a next-day service in Southeast Asia that, for the first time, everyone can afford,” Pete Chareonwongsak, CEO of Teleport said.
Teleport held a media briefing today in Kuala Lumpur to share the company’s growth strategy over the next five years. During the briefing, Pete and the Teleport leadership team shared what it takes to successfully deliver on its next-day ambition, with the goal to achieve two million daily parcels by 2025. Teleport’s growth strategy comprises three key components:
- A hybrid network: Continue to strengthen its network infrastructure with extensive first- to last-mile next-day delivery infrastructure, as well as working with more air partners to add more capacity on key high volume lanes. This is on top of its existing stronghold in Southeast Asia comprising a multi-hub hybrid mid-mile belly network of freighters and passenger belly space of more than 30 partner airlines combined;
- Reliability powered by technology: Safeguarding the reliability of a next-day, affordable delivery by ramping up the right technology build that will firstly, enable seamless orchestration from first to last mile; secondly, provide full visibility to ensure that it works for all; and finally, to incorporate intelligence to ensure that it works regardless, with the capability for automated yet flexibility in planning, prediction and most importantly, service recovery;
- A cost-leading, sustainable operating model: Teleport’s asset-light, pay-per-use model enables it to operate with a lower cost structure – to ensure more growth drives continued profitability. Customers benefit by way of affordable pricing and growing network access. When third party airline partners with Teleport, they benefit from incremental revenue gained through new and growing volume channelled through their belly capacity.
“This is our next stage of growth. Affordable, next-day delivery for all in Southeast Asia is the final mission from the day one vision. Our next 5 years will deliver this, and help all businesses with simpler and better service, but also our airline partners will never have to fly empty. We succeed when we ensure everyone wins with Teleport. Market growth is unlimited when we do.” said Pete.
