After several startup failures, Tran Viet Quan and his partners came back to software outsourcing in 2006. However, as this work could not satisfy his passion for innovation, his team began another project in the agricultural field. That was yet another defeat. Pouring his determination into one last project, Quan and his partners developed a mobile timekeeping software piece exploiting various technologies like Wi-Fi, GPRS, and AI, named Tanca.io, in 2018. This time, success has knocked at his door, and the app has been wholeheartedly welcomed in the market.
At present, Tanca.io offers 13 services for 10 different industries. Besides timekeeping via AI cameras or traditional methods, Tanca.io can be customized to automatically calculate salary, manage human resources, record KPIs, monitor assets, and control communications sources. The software now serves over 50,000 employees each day.
Another outstanding success, Nomion solution – digital identification of all things, comes from bold ideas of young IT engineers in newly established Phygital Labs startup. CEO Huy Nguyen of Phygital Labs shared that cyber space is now being exploited more to serve the demands of the young generations, who spend most of their time there. “Digital physics becomes an ideal door to link the real and virtual worlds. This is one completely new revenue stream that reshapes traditional standards and creates a promising digital economy”, said the CEO.
Nomion is a comprehensive solution to assign each physical product a unique digital identity via the Radio Frequency Identification technology (RFID) and Blockchain technology, ensuring transparency in both the real and digital spaces. The Light Detection and Ranging technology (LiDAR) and Virtual Reality/Augmented Reality (VR/AR) will then be used to transfer real objects into the virtual world.
Phygital Labs collaborates with the Vietnam IT Association, the Information and Communications Department of Da Nang City, the UNESCO Vietnam Information Center to apply Nomion in related fields such as the project to digitalize Non Nuoc stone carving village in Da Nang City or the one to introduce OCOPs to the public.
Another startup story is of Nguyen Manh Cuong and his team, who established STC Electric JSC. in Thanh Khe District of Da Nang City. The initial capital of this company was only VND4 million (US$165). The amount was used to develop and commercialize their ‘Safe Relay Product’ for float pumps and water pumps.
The idea had come to their mind when they had been in university. This product can convert the 220V current into 12V, thus eliminating the risk of electric leakage, electric shock, short circuit that might cause fire or explosion. Right now, the product is used in 36 localities nationwide, bringing a revenue of more than VND300 million ($12,350) per month.
Cuong commented that the challenge he is facing now is capital shortage. With sufficient money, he can upgrade mass production to reduce the retail costs of the product, improve its quality to better suit consumers.
The final and most inspiring story is of Dat Bike Vietnam Co. Ltd. in Son Tra District of Da Nang City. It successfully attracted $8 million, which is quite impressive for a startup project. The investment fund leading that capital injection round was Jungle Ventures from Singapore.
Before that, Dat Bike Vietnam Co. Ltd. had been able to attract $2.6 million in the Pre-Series A round, with the leader still being Jungle Ventures. In April 2022, Jungle Ventures and Wavemaker Partners continued to pour $5.3 million in the Series A. The total attracted investment came to $16.5 million until 2023.
CEO of Dat Bike Vietnam Co. Ltd. Nguyen Ba Canh Son shared that to reach that success, the product must have high quality and be able to satisfy the demands of consumers. The investment funds have repeatedly sent their money to this company since they are optimistic about its potential and the promotion of green vehicles.
The product line Dat Bike Weaver addresses common weaknesses of electric motorbikes in the market (battery charging time, battery capacity) instead of merely focusing on the vehicle appearance. Dat Bike Vietnam Co. Ltd. wants to encourage the switch of 250 million fossil-fuel motorbikes and scooters in Southeast Asia into electric ones. It will wisely use the newly obtained capital to upgrade its product to become an ideal vehicle for dwellers in Southeast Asia and even the whole world in the future.
Deputy Director Dang Thi Luan of the Center for Application of Science and Technology Advancement (SIHUB) commented that there are around 50 million startup projects in the world each year, including 1,000 from Vietnam. In the first three years of operation, 92 percent of these startups meet failures, mainly because they cannot pinpoint a suitable strategy to serve the market or lack startup knowledge. Startup means non-stop learning and upgrading, and even acceptance of failures.
General Director Ly Dinh Quan of Songhan Incubator (Shi) stated that the advantages of startup enterprises lie in their determination to pursue their dream, their passion, and their understanding of cutting-edge technologies. Yet this is not enough, and startup people should also obtain necessary soft skills and non-professional expertise as well. A startup without the ability to attract capital, sell innovative ideas, or the skills of administration, business development can hardly achieve success.
