LEGOAS Modernizes Indonesia’s Vehicle Auction Industry with Support from Microsoft Technology

 |   Indonesia News Center


Jakarta, 3 August 2021 – LEGOAS, the first online automotive auction company in Indonesia, has managed to become one of the country’s startups that has successfully recorded growth over the past few years, in the midst of the pandemic. Revamping business strategies and maximizing the use of technology—especially the cloud—in carrying out business activities are amongst the keys to LEGOAS’ success.

“Currently, many people choose private vehicles for limited mobilization. Even used vehicles can be a more affordable alternative in a situation that requires tight financial budgeting as it is now. Therefore, we continue to strive for resiliency and growth through innovation, by providing services that can help the Indonesian people and by optimizing the online vehicle auction system,” said Jacob Anthonius Margareta, CEO of PT Digital Sarana LEGOAS.

In order to accommodate the needs of the used vehicle market more conveniently, quickly, and securely, LEGOAS partners with Microsoft through the use of Microsoft Azure to manage the whole LEGOAS’ business system. Ranging from quality inspections of to-be-auctioned vehicles, ranking and recommending vehicle prices, to scheduling auction times, everything is done online using Microsoft Azure features, such as the Azure App Service and Azure SQL Database.

As a result, LEGOAS can automatically monitor thousands of data from auction transactions in a secure cloud environment, allowing the team in duty to focus on optimizing data management for business analysis and development. In 2020, LEGOAS had also succeeded in bridging vehicle owners with buyers in several regions of Indonesia, whose economic turnover was strong enough to transact 1,075 units of cars and 23,465 units of motorcycles, with a transaction value of up to Rp312 billion. The sales value also continues to increase every month, with an auction success rate of up to 98%.

“Reducing costs is a key part of LEGOAS’ strategy, and Microsoft Azure’s flexibility has helped us tremendously in managing and relocating expenses each month. From there, we can thrive by getting 1,190 new potential buyers throughout 2020. In addition, we can also easily develop APIs, so that our platform can now be used not just on desktop, but on mobile as well. Given the high number of mobile phone users in Indonesia, this capability really helps us reach more users,” Jacob continued.

As a startup born and developed in the cloud, it is expected that LEGOAS can encourage the digital transformation of other businesses and contribute to Indonesia’s economy. LEGOAS itself has a target to become the number 1 auction marketplace in Indonesia that, as time progresses, will not just auction vehicles, but also other goods. For that, digitalization of the ecosystem around LEGOAS is needed, including for financial technology and insurance.

“The development of technology, especially the cloud, has made digitalization possible for various types of businesses, including auctions. We believe, by maximizing the cloud, we can bridge sellers and buyers in transparent, reliable, and secure transactions. Moving forward, we will still need flexibility, reliable solutions, excellent security, continuous service, and technological capabilities to adapt to our evolving ideas and dreams. We will continue to work closely with Microsoft to explore various solutions that are suitable for startups like LEGOAS, who want to start their dreams without spending a lot of expenses up front,” Jacob concluded.

As LEGOAS’ partner in technology, Microsoft Indonesia is also committed to continuously supporting LEGOAS’ business transformation. Vony Tjiu, Corporate Commercial Director of Microsoft Indonesia said, “In accordance with the Empower Indonesia Digital Economy initiative that we announced at the end of February 2021, Microsoft will continue to assist every individual and organization in Indonesia to accelerate their digital transformation. We are proud to see the development of LEGOAS. They have been an inspiration for how resilience can help organizations grow. It will not be an easy journey, but with strong collaboration, together we will be able to create a real impact for Indonesia.”