An asset-light B2B distribution platform that connects buyers, suppliers and end-consumers in the FMCG sector in Vietnam, has secured $1 million in seed funding from Touchstone Partners.
The investment will enable Quqo to grow its team and customer base and expand its distribution network across the country.
Quqo is an online platform that aims to unlock the full potential of local mom-and-pop store (tap hoa) owners, FMCG suppliers and distributor partners via a broad offering of digital products and services.
The firm’s B2B platform and SaaS tool enable store owners to browse the best product offers through a “simplified and accelerated procurement process.”
“Vietnam’s traditional retail supply chain is made up of over 1.4 million stores. We noticed that distribution in Vietnam’s FMCG sector currently comes at different levels, from manufacturers to retailers, and is overly complex and manual. Our platform connects suppliers and buyers through digitalization,” said Jaime Roldan, CEO and Co-Founder of Quqo.
Roldan expressed confidence that with Quqo in the market, it would now be easier for suppliers to connect with their buyers.
Quqo was launched in Vietnam in 2020. It has since onboarded over 40 distributors while supporting over 5,000 stores across Ho Chi Minh City.
The firm claims to have grown 11 times in GMV since it started its operations in the early part of 2022.
The Quqo team plans to expand its reach to Da Nang, Ha Noi, and other major cities in Vietnam in 2023.
Bobby Liu, Director of EiR at Touchstone Partners, said that the tap hoa and local pharmacies are ubiquitous in neighbourhoods in the cities and towns across Vietnam.
Quqo’s solution gives these small and locally-owned businesses an easy-to-use tool to connect them with a network of suppliers and efficiently purchase and manage inventory.
Tools like Quqo’s are critical for these small businesses to compete effectively against bigger chain stores and continue to be important cornerstones in their local communities in Vietnam.