By Arjay L. Balinbin, Senior Reporter
TECHNOLOGY-enabled express logistics company Ninja Van is aiming to reach 100% service coverage in the Philippines this year, a company official said.
“We are expanding our footprint. We are on the road to 100% coverage nationwide, really serving more rural locations like Tawi-Tawi, Siargao, and Siquijor. We are trying to provide access in those areas,” Ninja Van Philippines Chief Commercial Officer Sabina Lopez-Vergara told BusinessWorld in a virtual interview on Tuesday.
Ninja Van started operations in Singapore in 2014, and it was launched in the Philippines in 2016. The company also operates in Malaysia, Indonesia, and Vietnam.
Ninja Van Philippines now has around 7,000 riders, up from just eight riders when it started operating in the country in 2016, according to Ms. Vergara.
It has more than 200 stations across the country, and the company is optimistic about expanding its footprint through its growing partner retail shops called Ninja Points, which allow customers to pick up their parcels at their own convenience.
The company is building infrastructure in the remaining 1% of the country that it targets to serve, Ms. Vergara said.
“Because of that, we are growing our fleet. We need to grow our rider base, and we need to hire more employees to build those stations,” she added.
“There are a lot of plans in terms of growth. Ninja Van is always looking for other opportunities outside of its core business. We have a lot of businesses that started during the pandemic.”
Ms. Vergara attributed her optimism to the increased demand coming from rural areas because of the work-from-home arrangement.
“A lot of people have started going back to the provinces because of this work-from-home arrangement, and you know, they are bringing with them the behaviors that they had in Manila, such as online shopping,” she said.
She noted that the digital revolution during the pandemic allows such customers to also open their own businesses in their provinces. “Because Ninja Van is serving some of those provinces, and other couriers are also serving those areas, they could also start opening up into the digital space and promoting their own brands.”
“The whole logistics network opened up, really expanding access and transportation of items, goods and supplies throughout Philippines,” she added.
Last year, the company announced that it had secured $578 million in a funding round. It said the funds would be allocated towards infrastructure and technology systems to “support a sustainable long-term cost structure, as well as the quality and consistency of Ninja Van’s operations.”
“Funds will also be invested in Ninja Van’s suite of micro-supply chain solutions to help Southeast Asian businesses optimize e-commerce opportunities,” the company said in a statement.
