How smart lockers are fixing Bangladesh’s last-mile delivery problem

This article is a part of Startup Spotlight, a series that features young, up-and-coming startups.

Photo credit: Digibox

During the pandemic, Rezwanul Haque Jami was working with the Bangladeshi government on logistics and saw firsthand how inefficient the system was. Inspired by Singapore’s automated post boxes, he spent two years building a prototype in his garage. 

An unexpected reunion with old acquaintance Morshedul Alam Chaklader led them to combine their expertise and launch Digibox Limited.

😟 Problem

Last-mile delivery in urban Bangladesh is inefficient and expensive, costing between US$1 and US$1.50 per parcel. The country lacks a reliable addressing system, forcing couriers to navigate by landmarks and make multiple calls to customers.

This unreliability leads to repeated delivery attempts, increased costs for logistics providers, and frustration for consumers. The system for managing product returns is equally broken, compounding the expense and hassle for ecommerce businesses.

💡 Solution

Digibox sets up networks of Internet of Things (IoT)-enabled smart lockers in dense urban areas like metro stations and malls. This creates a fixed, reliable delivery point for packages. The system simplifies the final step of delivery for both customers and logistics partners.

The process works in three simple steps:

• A courier drops a parcel into a secure Digibox locker.
• The customer instantly receives a one-time password via text message.
• The customer can then collect their package 24/7 at their convenience.

Photo credit: Digibox

📊 Market size

Bangladesh’s last-mile delivery market is valued at US$7 billion and is growing alongside a 13% Compound Annual Growth Rate (CAGR) in online transactions. Over half a million last-mile deliveries occur daily in the country, and Digibox currently handles 5,000 parcels per day.

The company aims to capture 20% of the daily market, targeting 100,000 parcels. The founders were also recently awarded a nationwide courier license, which opens up the peer-to-peer delivery market.

🤝 Team

• Rezwanul Haque Jami. Co-founder. Two prior successful exits with Bdtickets.com and OLX.com.bd. Previously published three IEEE e-logistics standards.
• Morshedul Alam Chaklader. Co-founder. Experienced in aviation cargo and logistics with firms like Air Asia and SMSA Logistics. Previously founded and exited a telecom startup.

🚀 Traction

🏆 Competition

💰 Financials