Super App Raises $28M Led by SoftBank Ventures Asia

Addressing Price Disparities in Indonesian Retail with Social Commerce

Across Indonesia, the cost of essential goods frequently escalates in smaller towns and rural communities. Steven Wongsoredjo, co-founder and CEO of Super, notes that price variations can range from approximately 10% to 20% in Tier 2 and Tier 3 cities, and can reach nearly 200% in the eastern provinces.

Super leverages the power of social commerce and a highly optimized logistics network to reduce the expense of products for consumers. The company recently announced the successful completion of an oversubscribed $28 million Series B funding round, spearheaded by SoftBank Ventures Asia.

Investment Details and Funding History

This funding round saw participation from existing investors including Amasia, Insignia Ventures Partners, Y Combinator Continuity Fund, and Stephen Pagliuca, co-chairman of Bain Capital. Additionally, partners from DST Global and TNB Aura joined as new investors.

With this latest investment, Super’s total funding now exceeds $36 million, representing the largest amount secured by any Indonesian social commerce startup to date.

Expansion Plans and Target Markets

Having participated in the Y Combinator winter 2018 program, Super primarily concentrates on cities and towns where the gross domestic product per capita is $5,000 USD or less. Currently, the company operates within 17 cities in East Java.

Super maintains a robust network comprising thousands of agents – functioning as resellers – and hundreds of thousands of individual buyers. The newly acquired funding will be utilized to expand the company’s footprint, doubling its presence in the current region and initiating operations in additional Indonesian provinces throughout the year.

Furthermore, Super intends to broaden its product offerings beyond fast-moving consumer goods (FMCG) and further develop its recently introduced white label brand, SuperEats.

Vision and Competitive Landscape

Wongsoredjo articulated Super’s long-term vision as “building the Walmart Group of Indonesia without having a retail store,” capitalizing on the social commerce model to establish a sustainable business. This strategy mirrors Pinduoduo’s success in China, which focused on serving smaller cities to become a leading e-commerce platform.

Supply Chain Challenges contribute to higher prices in smaller cities and rural areas due to increased fulfillment costs for smaller orders and infrastructural limitations hindering the efficient delivery of goods from manufacturers and FMCG brands.

Super’s Operational Model

Super operates a centralized warehousing system, complemented by smaller hubs strategically located closer to customers. The majority of its products are sourced from regional FMCG brands.

Group orders are delivered to agents, who then manage last-mile delivery to their respective buyers. This approach minimizes costs by streamlining the supply chain and enabling order fulfillment within 24 hours, without reliance on external logistics providers.

Competitive Positioning

Indonesia’s social commerce sector also includes companies like KitaBeli, ChiliBeli, and Woobiz. Wongsoredjo emphasizes that Super gained an early advantage by prioritizing smaller cities and rural areas, deliberately avoiding a focus on Jabodetabek (the greater Jakarta region).

The company’s headquarters and core operational teams are also situated outside of major metropolitan areas.

“By intentionally excluding Jabodetabek’s influence, we are able to develop unique social commerce solutions with a hyperlocal focus, better serving rural communities,” Wongsoredjo explained. “Our aim is to capture the remaining 90% of the market that remains largely untapped.”

Investor Confidence

Cindy Jin, a partner at SoftBank Ventures Asia, stated, “We are deeply impressed by the Super team’s comprehensive understanding and unwavering dedication to Indonesia’s underserved regions. We are confident that their localized expertise will enable them to effectively navigate and build a robust platform within this hyperlocal market.”