Delivery costs are going up, and the logistics sector, especially in urban areas, face a shortage of workers.

To tackle this, Singapore startup Quikbot is deploying delivery robots that excel in moving within building clusters and inside the structures themselves.

Read on to learn about how this service is looking to change how logistics is done.

Problem
Last-mile deliveries account for more than 50% of shipping costs, which strains supply chains. They also account for more than half of all delivery carbon emissions. Addressing these inefficiencies is vital to supporting the growth of ecommerce.

Solution
Quikbot offers robots that deliver parcels between buildings and across floors. To serve an area, couriers no longer need to go door-to-door. Instead, they can drop off parcels at a single hub, and Quikbot’s robots will do the rest.

The company claims that this could cut last-mile delivery costs by half and shave delivery times by 30 to 50 percent. This is due to optimized routes, zero human errors, and the ability to operate round-the-clock.

Market size
The global last-mile delivery market is projected to reach US$564 billion by 2032. With a CAGR of 15.62% between 2023 and 2027, there is a rising demand, particularly in Asia-Pacific, which is forecasted to grow at 40%.

Team
Quikbot is led by Alan Ng, who has 20 years of experience in entrepreneurial and robotics ventures. He grew StarMedia International Group to exceed US$50 million in revenue, and founded CareStar Robotics.

Wong Choon Yue, the chief engineer, is a senior research scientist at Singapore’s Nanyang Technological University. He has a PhD in robotics.

Diao Ren, the head of R&D, has 10 years of experience in robotics and software. He has a PhD in computer science.

Traction
Quikbot is showing traction, with MOUs secured with key couriers like FedEx and Singapore Post. It is also negotiating for an MOU with DHL. Altogether, they cover 90% of the parcel flow in Singapore.

It is running live proofs-of-concept with 7-Eleven, centrally located property The South Beach, and Stellar Lifestyle, which manages the retail and advertising business of SMRT, Singapore’s rail network.

Competition
Competitors like Starship Robotics, Serve, Neubility, and Cartken primarily do food delivery. Quikbot’s platform is tailored for dense, multi-level urban areas, focusing on parcels—a less crowded space.

While existing platforms generally work only on the ground floor or on sidewalks, Quikbot’s robots are designed to carry parcels of varying sizes, and will have the ability to securely check in and out of buildings.

Financials
Quikbot is currently seeking US$10 million to expand operations into Singapore and target regions like Japan and UAE. They also hope to set up their solution in three service clusters.

They project each cluster to make up to US$1.7 million in revenue and break even in 14 months with a gross profit of 58 percent.

This piece was written with AI and edited by humans.