Company Profile: Borong (formerly Dropee)

Background

Borong, previously known as Dropee, is a Malaysian-based B2B e-commerce platform founded in 2017 by Lennise Ng and Aizat Rahim. The company aims to revolutionize the wholesale industry by connecting brands, wholesalers, and retailers through a seamless digital marketplace. By leveraging technology, Borong seeks to empower micro, small, and medium enterprises (MSMEs) to thrive in a competitive market landscape.

Key Strategic Focus

Borong's strategic objectives include:

Digital Transformation: Facilitating the transition of traditional wholesale businesses to online platforms, thereby enhancing operational efficiency and market reach.

Financial Inclusion: Providing MSMEs with access to financing solutions, such as revolving supply chain financing, to support their growth and sustainability.

Market Expansion: Strengthening its presence in Malaysia and Indonesia, with plans to extend operations into other Southeast Asian markets like Thailand and Vietnam.

Financials and Funding

Borong has demonstrated significant financial growth and has secured substantial funding to support its initiatives:

Revenue Growth: Achieved a revenue of $13.9 million in 2024, up from $5.8 million in 2023, reflecting a year-over-year growth of approximately 140%.

Funding Milestones:

Series A Round (January 2022): Raised $7 million, comprising $3 million in equity and $4 million in debt financing. The round was led by Vynn Capital, with participation from HCL Capital, Resolution Ventures, and LKF Capital.

Utilization of Funds: The capital raised is intended to enhance core operations, expand into new markets, and develop financing products tailored for wholesalers and retailers.

Technological Platform and Innovation

Borong distinguishes itself through its innovative technological solutions:

SaaS-Enabled Marketplace: Offers a platform that integrates online and offline sales channels, enabling brands and wholesalers to manage orders, track inventories, and fulfill orders efficiently.

AI and Predictive Analytics: Utilizes artificial intelligence to forecast product demand, assisting retailers in optimizing inventory management and reducing wastage.

Digital Niaga Program: In collaboration with Bank Simpanan Nasional (BSN), launched the Digital Niaga program to provide MSMEs with access to financing, training, and technology solutions, promoting digital adoption and business growth.

Leadership Team

Borong's leadership comprises experienced professionals dedicated to driving the company's mission:

Lennise Ng: Co-Founder and Chief Executive Officer. Recognized in Forbes' 30 Under 30 Asia list in 2020 for her contributions to retail and e-commerce.

Aizat Rahim: Co-Founder and Managing Director. Brings extensive experience in venture building and has been instrumental in Borong's strategic partnerships and market expansion.

Competitor Profile

Market Insights and Dynamics

The B2B e-commerce sector in Southeast Asia is experiencing rapid growth, driven by digitalization and the increasing need for efficient supply chain solutions. The market is characterized by a fragmented landscape with numerous players aiming to digitize traditional wholesale processes.

Competitor Analysis

Borong faces competition from several key players:

Faire: A U.S.-based B2B marketplace connecting independent retailers with makers and suppliers. Founded in 2017, Faire has raised $1.7 billion in funding and serves over 100,000 retailers and 20,000 suppliers.

Orderchamp: A Netherlands-based online B2B marketplace that connects brands and retailers to transform the wholesale experience. Founded in 2019, Orderchamp has raised $21.3 million in funding and serves over 2,000 customers.

Strategic Collaborations and Partnerships

Borong has established significant partnerships to enhance its offerings:

Bank Simpanan Nasional (BSN): Collaborated to launch the Digital Niaga program, aiming to provide MSMEs with financing and digital tools to improve their operations.

Major Brands: Works with global brands such as Unilever and Nestlé, facilitating their distribution to local retailers through the Borong platform.

Operational Insights

Borong's strategic initiatives focus on:

Empowering MSMEs: By providing access to a wide range of products, competitive pricing, and financing options, Borong enables small businesses to compete effectively in the market.

Technological Integration: The platform's integration capabilities allow for seamless connection with existing systems, enhancing operational efficiency for suppliers and retailers.

Strategic Opportunities and Future Directions

Borong's future roadmap includes:

Regional Expansion: Plans to extend its market presence beyond Malaysia and Indonesia into other Southeast Asian countries, tapping into the region's growing digital economy.

Product Diversification: Developing additional services and tools to address the evolving needs of MSMEs, including advanced analytics and customized financing solutions.

Strengthening Partnerships: Continuing to build strategic alliances with financial institutions and major brands to enhance the value proposition for users.