The rapid surge in the supply chain industry has led businesses to explore innovative ways to meet customer expectations and deliver ever-increasing orders on time. Industry has swiftly switched towards automated warehouses, robotics solutions/technologies to meet these new needs. Addverb Technologies, a global robotics company based out of India, provides new solutions for these contemporary demands. It provides an array of warehouse automation solutions, combining fixed and flexible automation, using their wide portfolio of products like Mobile Robots, ASRS, Picking Technologies, and Enterprise Software including Warehouse Management Software.
Addverb provides world-class automation solution on cutting-edge upcoming technologies like AI, ML, IoT, the company has witnessed an exponential growth with expansion especially across industries like FMCG, E-commerce, and Logistics. With an objective ‘Empowering brands & augmenting lives’, Addverb has made its impact felt with presence in five countries to date, by engaging and serving 300+ clients globally. They offer unique customised solutions with an accurate dispatch rate of 100 percent, that is creating a paradigm shift in logistics and distribution system. This case study captures, Addverb’s Australia growth story.
During the holiday season, businesses face a huge increase in online orders, putting a lot of pressure on warehouses. The usual solution of hiring temporary staff is difficult due to a lack of available workers and high costs.
India's Addverb Technologies is at the forefront of pioneering transformative solutions, that is reshaping the landscape of business and customer needs on a global scale.
Founded in 2016, Addverb Technologies is an advanced intra logistics company that designs and manufactures products for warehousing, distribution centres, and virtually any industry requiring the physical movement of products. It also writes, develops, and implements the software to manage and operate the solution, thereby providing customers a one stop solution provider.
The company’s global headquarters is based in the State of Uttar Pradesh, Noida, India, with a global workforce exceeding 800 personnel. In the past two years, Addverb has expanded overseas and established local entities in Australia, Netherlands, Singapore, Malaysia, and the United States.
The global intralogistics company is now bracing for its second manufacturing plant, which will be one of the world’s largest mobile robot manufacturing facilities and will cater to the rising demand for Mobile Robots and Warehouse Automation Systems. The facility spread in an area of almost 15 acres, will have a capacity to produce 60,000 robots per year of varied categories in Greater Noida, Uttar Pradesh.
With Reliance Industries, India’s largest conglomerate onboarding as a strategic partner in 2022, buying majority stake in the company, Addverb has been seeing a rapid demand for robots. Reliance Industries acquired a major stake in Addverb for US$132 million. Additionally, the company has placed an order for robots worth US$1 billion. Reliance’s prowess is expected to further strengthen with Addverb Technologies’ automation solutions, with robots enabled with 5G.
With a powerful presence in FMCG, organised retail, e-commerce, grocery, beverage, and tyres, Addverb is targeting to enter into pharma, electronics, automobiles, airports and hospital sectors. Addverb’s clientele includes industry giants like Hindustan Unilever Limited, Reliance Industries, Flipkart, PepsiCo, Coca-Cola, Marico, Dabur, ITC, Patanjali, Amazon and more.
It has expanded its global footprint by acquiring customers in North and South Americas, Europe, Australia, and South-East Asia and has established 100 percent subsidiary companies in USA, Singapore, the Netherlands, and Australia.
Currently, majority of Addverb’s revenue comes from India and the rest from the overseas market. The company hopes to be a multibillion-dollar company with equal splits of revenue from India and overseas markets, in the next five years.
It also aspires to pioneer human-robot collaboration and deliver affordable technological solutions. Their AI-enabled robots are trained to handle surplus tasks in fields like inventory management, logistics, and supply chain management.
The shift in consumer habits like online shopping since the pandemic, has opened new opportunities for the future of the company. The massive demographics and digital penetration have remarkably changed the robotics landscape, with the new operating volumes of Indian companies on par with the US market.
Addverb Technologies' venture into the Australian market, marked a significant strategic milestone in its global expansion journey. The catalyst for this expansion was the successful tendering for a substantial warehousing project in Melbourne in December 2020. With operations initially centred in Melbourne, Addverb swiftly established an office in Sydney and has recently extended its presence across the region, positioning itself for maximum growth opportunities.
Addverb Technologies’ decision to expand into international markets, including Australia, was driven by a well-informed market awareness of massive labour shortages and cost inefficiencies, and the opportunity prevalent for their cutting-edge products and services. In a competitive landscape, Addverb secured a major project, a critical milestone that not only validated its presence in the Australian market but also provided a promising prospect for the automation industry. The establishing of Addverb Australia was a collaborative effort, supported by a network of specialised service providers. Given the technical intricacies of the robotic solutions, both in terms of proprietary technology and operational expertise, the involvement of specialists was vital. Indian specialists were deployed to Australia initially, to facilitate the installation and commissioning of the project.
As the project evolved, the Australian entity continued to grow, with the incorporation of locally based specialists who played a pivotal role in ensuring sustained growth and success. Today, Addverb Australia is poised as a dynamic player in the Australian market, offering a comprehensive range of intralogistics products, services, and innovative solution designs tailored to the unique needs of local clients. As Addverb Technologies continues to expand its footprint, its strategic approach to the Australian market serves as a testament to its commitment to understanding customer requirements and delivering innovative solutions, even in the face of challenging circumstances.
Seeing The Future
Addverb Australia, had an agile operational strategy to reciprocate to the Australian marketplace needs. It has established dedicated regional service and support unit that plays a pivotal role in facilitating continuous interaction with existing and future clients, fostering trust, and expertly managing client expectations. This forward-looking approach ensures that the company remains responsive to the ever-changing demands of the Australian market, solidifying its position as a trusted partner in the realm of intralogistics solutions.
“I am thrilled to be part of our strategic expansion into the dynamic Australian region. With a dedicated focus on delivering efficiency and innovation, we are poised to make a lasting impact on the ANZ region, enhancing logistics operations and driving growth for our clients across the regions.” – Atit Bhatt, GM, Addverb Technologies Pty Ltd.
Addverb takes a unique 4D approach comprising Discover, Design, Deliver & Dedicated Support for the digital transformation of material handling processes, aimed at augmenting safety, scalability, and flexibility. Their software solutions are designed to help clients optimise their operations, reduce costs, and improve productivity.
The key takeaways from this case study for Indian companies offering products and solutions are -
- Prior to entering the market, plan 'what to do and how to do it'
- Understand the regulatory and compliance requirements
- Understand the true cost of operating in the Australian marketplace
- Understand the quality of products expected within the market
- Ensure a team of locally based people are engaged within the business at an early stage
- Be aware of required resources to support the business over a period to time (partially the skilled labour requirements)
- Understand the full expectations of all parties in both countries
- Ensure open dialogue between all parties from the very beginning of discussions
- Allow additional time and resources to better plan the entry in the respective markets
- Fully establish the entity prior to securing opportunities (although in some situations this may not be possible)
- Define the expectations and requirements.