Toqio partners with DSA to enter growing logistics sector

Toqio has announced an entry into the logistics sector through a partnership with global e-commerce company DSA.

Toqio, a United Kingdom-based technology platform for business-to-business embedded finance solutions, has established a partnership with DSA, a company with operations in both the UK and Hong Kong. This move represents Toqio's initial venture into the logistics industry, expanding from its existing focus on hospitality and pharmaceuticals sectors.

DSA provides a comprehensive approach to logistics by managing sourcing, packaging, and shipping for a network of over 100 suppliers. The company's operations primarily involve obtaining and dispatching products from China to customers rapidly.

Working with Toqio, DSA aims to enhance its intercontinental relationships and optimise liquidity. By leveraging Toqio's financial products, DSA hopes to continue strengthening these aspects efficiently.

The market for dropshipping, in which suppliers ship products directly to customers on behalf of retailers, is on a growth trajectory. Allied Market Research has projected that this sector will grow to USD $1.67 trillion by 2031, up from USD $155.6 billion in 2021. Factors contributing to this growth include increasing disposable income and widespread smartphone usage.

An additional study by Straits Research in 2022 estimated the market's value at USD $222.46 billion, anticipating a compound annual growth rate of 28.4% until 2031.

Eduardo Martinez, CEO of Toqio, commented on the promising expansion of the dropshipping industry, "It's clear the dropshipping market has enormous growth potential. It's particularly well-suited to an embedded finance offering because many dropshipping suppliers are relatively small companies and these have historically been the type of companies that have struggled to access the finance they needed from traditional financial providers."

Martinez further elaborated on Toqio's capabilities: "Toqio works to offer financial products tailored to client needs in a fast and simple way, thanks to the ability to easily extract information through flexible data models that allow corporations to offer liquidity to their network of customers at the right time, gaining their trust and loyalty."

Mark Deken, CEO of DSA, expressed optimism about the partnership, stating, "At DSA, we're committed to delivering fast, reliable solutions across the entire value chain, from sourcing to fulfilment, ensuring every step is optimised for both efficiency and growth. Our partnership with Toqio empowers our clients to scale faster and more consistently, avoiding the common disruptions that frequently lead to expensive setbacks. By integrating embedded finance solutions like DSA Pay, we provide our clients with seamless access to the financial tools they need to manage payments efficiently and without the bottlenecks or interruptions often faced with traditional payment providers."

This collaboration signifies a strategic alignment between Toqio's financial expertise and DSA's operational capabilities, aiming to facilitate scalable growth and improve payment efficiencies within the logistics sector.