Users of Droppa, the South African logistics service, can now use Uber Direct to deliver parcels. It’s the first deal of its kind between the global ride-hailing giant and a South African startup.
Through a system integration, Droppa users can select Uber Direct to deliver small-sized parcels like envelopes and boxes throughout South Africa. The partnership will allow Droppa to leverage Uber Direct’s network of courier fleets to grow its delivery capabilities across South Africa.
As Droppa’s vehicle fleet comprises mainly minivans up to 8-ton trucks, the Uber Direct partnership will offer Droppa users the convenience of delivering small-sized parcels via Uber Direct’s fleet of cars and scooters. This will enable the company to access a new market segment of customers looking to send small parcels across the country.
Founded in 2016, Droppa markets itself as an “Uber for deliveries”. Owners of trucks sign up on the platform and are matched with customers who want to deliver goods and Droppa gets a 20% commission for every delivery completed. The platform also allows users to rent the trucks from owners and claims to currently have over 40,000 users. The company announced an undisclosed Series A raise in 2022 to expand its presence in South Africa.
CEO of Droppa Khathutshelo Mufamadi said that the partnership will enable Droppa to expand its delivery footprint across the country. “Through the partnership, we will be able to increase our fleet three times which will greatly accelerate our delivery capabilities,” Mufamadi said. Droppa currently has a fleet of about 500 vehicles available on the platform.
The startup also has a distribution deal with logistics company Skynet Worldwide Express, which gives Droppa access to the company’s air delivery modes and same-day delivery services between Johannesburg, Cape Town and Durban.