BlackBuck Business Model | How does BlackBuck Make Money

BlackBuck is an incredibly popular digital platform for trucks. BlackBuck is considered the pioneer in the field of trucking. The company has introduced a new and organized pathway for making trucking convenient for all shippers and truckers. Basically, it's a tech-enabled platform for logistics services to shift conventional trucking to a digital platform.

The company is working towards making truckload bookings and moving them at the utmost capacity. The shippers would have all the required information about the whereabouts of truckers.

BlackBuck was founded in 2015 and has brought remarkable development in the field of trucking operations. Legally, BlackBuck is termed as Zinka Logistics Solutions Pvt. Ltd. It is headquartered in Bengaluru, Karnataka, India.

BlackBuck helps the shippers to have access to a suitable truck at an accurate time for the right place, just by pressing a button. The company has partnered with the World Bank and the Indian Government on various important policies including the Goods & Service Tax (GST), E-Way Bill, and many others.

Zinka Logistics, the parent organization of BlackBuck recently launched its IPO on 13th November 2024.

In this article, we will be discussing the BlackBuck Business Model, how BlackBuck makes money as well as the strategies opted by BlackBuck for its immense success. Let's get started!

About BlackBuck
Where Does BlackBuck Operate?
Key Features of BlackBuck
BlackBuck Business Model
How Does BlackBuck Make Money?
Competitors of BlackBuck

About BlackBuck

BlackBuck is the leading as well as the largest trucking network in India. The company has put great effort into shifting trucking to the digital platform and enabling the shipper with the right trucker or reshaping the trucking infrastructure in order to simplify payments, financial services, and insurance.

BlackBuck's strong technology helps it to provide efficiency, dependability, and seamless experience to the truckers as well as shippers.

BlackBuck has a hugely strong team of over 2000 people and holds the best sets of investors including Apoletto Asia, Goldman Sachs, Light Street, Sequoia Capital, Accel Partners, Tiger Global, and IFC.

The company deals with more than 10,000 clients onboard across 3000+ villages along with 400+ industrial centers and over 3,00,000 truckers. It formerly received 'CNBC-TV18- Young Trucks Startup of the Year' and the 'Zee Business- Company of the Year Logistics' in 2018. BlackBuck's company logo marks the beginning of a new path.

BlackBuck Success Story | India’s Largest Trucking Platform | IPO | Founders

BlackBuck is a unicorn logistics startup, which is hailed as the largest trucking platform in India. Here’s all about its founders, IPO, history, startup story, business model, revenue, funding and more.

StartupTalkyPurbalee Dutta

Where Does BlackBuck Operate?

BlackBuck company functions in more than 200 cities across India. The track records of the distributed assets to the truck drivers in all these cities became quite difficult to manage and organize through a spreadsheet. In the upcoming years, the company is prepared to expand its territory and enlarge its assets to more cities to facilitate the services.

Key Features of BlackBuck

BlackBuck utilizes various advanced technologies in the field of logistics. The company comes up with tons of features, but the most effective are:

• Quality benchmark
• Monitoring and controlling
• Direct procurement channels

BlackBuck Business Model

BlackBuck follows business-to-business (B2B) as well as business-to-consumer (B2C) models. BlackBuck company works towards upgrading the logistics services for the truckers. It contributes towards dealing with the major issue of trucks returning empty.

The company designed its business model in such a manner that its trucks can be reassigned from their definite location for another trip so that the customers would get better prices and pay for the return trip and most importantly, a lower carbon footprint.

BlackBuck used to function with spreadsheets to keep track of its assets and trips. But, with the increased number of registered trucks and shippers, the management became very tough and complicated. That's why the company is putting major research into a better solution for this problem and seeing more options in hand.

How Does BlackBuck Make Money?

BlackBuck charges a small amount of fees from its customers at a fixed rate for the contract business. It generates a huge fraction of its money by charging the customers as well as the truck owners a commission of around 15-20% depending on the freight value.

Blackbuck Logistics Company provides all the required facilities to the registered trucks for a smooth truck race. With its advanced technology, BlackBuck takes trucking to the next level in the industry.

BlackBuck is upgrading logistics into an absolutely reliable and efficient at country level. BlackBuck made a net profit of INR 28.67 crore in Q1 FY25, compared to a net loss of INR 35.93 crore in the same quarter in FY24. Blackbuck's revenue from operations grew by nearly 55%, reaching INR 92.16 crore, up from INR 59.46 crore in the previous year.

BlackBuck's operating revenue grew from INR 119 crore in 2022 to INR 176 crore in 2023, reaching INR 297 crore in 2024. Commission income increased from INR 75 crore in 2022 to INR 127 crore in 2024, and subscription fees went up from INR 39 in 2022 crore to INR 117 crore in 2024. Service fees also rose from INR 4 crore in 2022 to INR 13 crore in 2023, reaching INR 51 crore in 2024.

BlackBuck raised funding worth $364 million in around 9 funding rounds. In its last funding round, the company raised $67 million from prominent investors including VEF, Tribe Capital, and Emerging Asia Fund in 2021. This increased BlackBuck's valuation up to $1.02 billion and took it to the list of unicorns in space at 2nd after its biggest competitor Rivigo.

Competitors of BlackBuck

BlackBuck is immensely famous in the logistics sector. With its advanced technology and features, it's known to be quite distinguished. As the leading and largest logistics services provider, many companies are up to beat BlackBuck. But, its top competitors in the market are Delhivery, BlownHorn, Rivigo, Xpressbees, and ElasticRun.

Conclusion

BlackBuck has worked enormously in the field of logistics services and ought to make the procedure convenient and efficient. The company utilizes advanced technology in trucking services and develops a huge customer base, resulting in great deals.

The company follows both B2B and B2C business models. Its major source of revenue is from the commission it charges from the customers and truckers which is 15-20%. BlackBuck is one of the largest logistics services providers in India and is working on improving trucking more efficiently.

FAQ

What does Blackbuck company do?

BlackBuck company helps move goods across India. It connects truck owners with businesses that need to transport goods. It also uses technology to make trucking easier and more efficient.

What is BlackBuck company?

BlackBuck is an Indian logistics company that connects trucks with businesses for goods transport.

Is BlackBuck a unicorn?

Yes, BlackBuck is the first logistic startup to turn unicorn in 2021.

Who is BlackBuck company owner?

Rajesh Yabaji is the co-founder and CEO of BlackBuck.