Truck Lagbe’s New App, Uberization of Trucking, and Truck Lagbe’s Real Motivation
Truck Lagbe launched a new version of its app released on the Google Play Store early this month. The new version of the app comes with multiple improvements and new features. Truck Lange released a trial version of its mobile app in July 2017.
The new version of the app, which is available for free for download and install, will allow users to rent a truck from anywhere in Bangladesh with a few clicks on their handheld devices. The new app works more like the ride-hailing apps, where users will be able to send requests for trips, which will then be sent to nearest available drivers and then a truck will be matched as per user’s demand.
This is the ultimate uberization of the trucking industry. This is certainly a big leap for Truck Lagbe in the sense that in order to launch the new version of the app, that makes trucking truly on-demand, the company has to make a number of things happen including standardization of pricing. Truck Lagbe users now can hire small pickups at a fixed rate inside Dhaka city within a short time. Other trucks for all over Bangladesh are hired through a bidding process among drivers.
The company says it has collected user feedback over the past years, observed how people and drivers use the app and standardized various aspects of renting and hiring trucks, and eventually came up with the new version of the app.
Truck Lagbe’s motivation
Truck Lagbe has put a lot of importance on the launch of the new app, which is new from the company. Customers using Truck Lagbe app for hiring trucks is important for Truck Lagbe for several reasons. This is precisely why Truck Lagbe puts such a higher importance on launching a new version of the app and promoting it widely. More customers hiring trucks through app means, more drivers will have to use the app to get trips and bid for trips.
This latter outcome, more driving using the app, is the target where Truck Lagbe aims to reach. Bringing in more customers to the app allows Truck Lagbe to bring more truck drivers and owners to the app, which enables Truck Lagbe to take advantage of various aspects of being an aggregator such as selling services to truck owners and drivers.
“For Truck Lagbe, truck owners, drivers, truck-related utility sellers, shippers, and everyone else in the universe of truck-transportation are its potential customers. The core stake of getting there is owning the interaction with truck owners and drivers and shippers. Once this nod is done, the rest is bound to follow. And the real business of Truck Lagbe begins when they are done with this phase of their development.
Let’s go a little deeper. Apparently, what we see is that Truck Lagbe is a two-sided marketplace: truck owners and shippers. But if you pay closer attention it is not that simple. The list of stakeholders is long. For clarity, there are owners, drivers of trucks, and then there are shippers, and then over time, service providers, utility, and products sellers would also take interest in the platform and so on. The beauty of a platform is that you are essentially building infrastructure at the beginning and then once the infrastructure is ready, you can decide how you want to take the benefits of it to the point it does not break. For Truck Lagbe, it is a two-sided marketplace but over time, the company expects that it will be able to activate different parties in this two-sided transaction, starting from services to products to more, which is now only truck owners and shippers.”
Unless truck drivers and owners use the Truck Lagbe app regularly, activating these other areas of business at scale will be difficult. To that end, while this overhaul of its app about bringing in more customers to Truck Lagbe app, it is also about making drivers and owners use Truck Lagbe app more often. Such is the nature of the world, the most thing often goes unnoticed.
Ruhul Kader is a technology business and technology policy analyst based in Dhaka, Bangladesh. He is also the co-founder and CEO of Future Startup and author of Rethinking Failure: A short guide to living an entrepreneurial life. He writes about internet business, strategy, technology, technology policy, and society. He can be reached at [email protected]