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Gojek teams up with Paxel for intercity delivery service as demand soars in partially locked down areas

Paxel claims to have 900,000 users that have sent and received more than 2 million packages in .

Gojek has formed a new intercity delivery service with logistics startup Paxel. Gojek’s same-day delivery service, GoSend, can now take parcels from Jakarta to Bandung, a route that measure 150 km. Previously, GoSend only managed deliveries within a 40-km radius.

“During this pandemic, people’s movements become very limited. We hope that the GoSend Intercity Delivery service can support MSMEs and social sellers to expand their businesses by expanding their reach to more consumers,” said Gojek’s head of logistics Junaidi in a statement.

Gojek is in rough waters at the moment, as their ride-hailing service has been suspended in cities that are under partial lockdown. However, their delivery services are seeing a surge in demand as users are ordering more food and daily items online. By expanding their capacity in this sector, the company can patch some losses from its transportation service.

Users can utilize the intercity delivery service by choosing the “other city” option in the GoSend feature, then specifying the pickup and delivery points. Intercity packages are delivered by GoSend’s driver-partners or Paxel’s couriers. With health precautions for both users and delivery workers, Gojek provides contactless delivery and payment options. Paxel also sanitizes all packages in their warehouse before dispatching them to consumers.

The companies established a flat rate of IDR 20,000 (USD 1.78) for small, medium, and large packages weighing a maximum of 5 kg, with up to IDR 10 million (USD 642) insurance coverage.

Bandung was chosen as the first destination for this partnership because Paxel’s service is widely used there. The two firms aim to take their services to more cities where they have a presence.

“Paxel will continue to expand, including through collaborations with partners such as Gojek, in order to bring new logistic and transportation solutions that will benefit many people,” said Paxel CEO Bryant Christanto.

Paxel claimed to see a surge in delivery demands during the COVID-19 pandemic, especially for fresh products, which spiked by 80%, as reported by local media outlet Tempo. Until April 2020, the company claims to have more than 900,000 users and has delivered more than 2 million packages in nine cities in Indonesia. Paxel provides door-to-door delivery and a locker pick-up system that can be accessed via a mobile app or the company’s website.