Jago Coffee Closes Pre-Early Funding, Ready to Expand

Coffee chain startup Jago Coffee announced the completion of pre-seed funding of $250 thousand or around 3.5 billion Rupiah from BEENEXT, Prasetia Dwidharma, with the participation of renowned barista and coffee entrepreneur Hidenori Izaki, as well as a number of founders and angel investors in Indonesia’s digital ecosystem.

The company will use the fresh funds to expand into residential neighborhoods in the Greater Jakarta area and launch new product categories, outside of coffee, powered by Jago’sproprietary software and hardware.

The move is to encourage the shift from traditional retail storefronts to more efficient and low-carbon mobile storefronts.

In an official statement, BEENEXT Partner Faiz Rahman explained that urban infrastructure is both an opportunity and a challenge for retail development in a developing country like Indonesia, thus requiring operators to adapt to the stage and circumstances of local development.

He considered Jago to represent a new iteration for micro-retail, taking the traditional form of commerce and reorganizing it into a modern context through mobility and technology.

“We are delighted to be able to support Jago and believe that the micro-retail format offers unlimited potential for new consumption models,” said Faiz.

Founder of QAHWA (a global coffee consulting company) and 2014 World Barista Champion Hidenori Izaki added, finding good coffee that is comfortable and affordable is hard to find.

However, Jago provides unmatched quality and convenience for Indonesian coffee lovers who are looking for more than just a quick and inexpensive brew.

“Jago is also able to at the same time empower baristas to run their own shops. As an experienced barista, I am excited to partner with the Jago team to bring this new and innovative coffee format to the forefront of the Indonesian beverage market,” said Izaki.

Starting Service Since 2020

Jago Coffee started its operations in June 2020 by offering a mobile retail enabler service, which drives micro mobile retail through the company’s fleet of fully electric trolley cars—meeting customers whenever they want—wherever they want.

Starting with a fully electric mobile cafe, Jago Coffee provides quality coffee drinks served by baristas equipped with all the tools and materials needed to prepare fresh drinks on the spot.

Jago Coffee offers direct ordering and delivery, pick-up and delivery services for fresh cafe-level coffee directly to consumers.

With a grab-and-go model, the company places carts in strategic locations such as office building lobbies, public transit stations, and key community spaces so customers can pre-order and pick up their orders immediately before leaving for work or on the go.

Users can download the Jago app on iOS and Android to order freshly brewed drinks for pick up and delivery, eliminating the need to head to a cafe to freshen up.

Opening Business Opportunities

Jago aspires to enable anyone who wants to be an entrepreneur to start their own micro-retail business, empowering micro-entrepreneurs with greater ownership of their careers and livelihoods.

Barista Jago owns and operates his own carts, receiving professional training from Jago to provide consumers with high-quality products and services.

The majority of Jago’s operators come from a professional barista background and are able to gain a high degree of independence through Jago, which eliminates the high start-up capital associated with opening a cafe or retail outlet, while increasing margins and take-home pay.

The company currently operates a fleet of 20 mobile coffee carts, and plans to launch 280 units next year.

In the future, the company plans to expand into new forms of retail empowerment, customizing carts for various use cases in partnership with popular brands and retail players.

Partnering retail brands can leverage a shared Jago cart network that allows them the flexibility to set up in high-traffic locations while reducing rental overhead costs, increasing business margins, and providing more convenience to their customers.