This Houston startup has cut out the middleman to provide businesses quick, cost-efficient deliveries through a tech-optimized platform. Photo via tuyatech.com

A Houston startup is set to disrupt the same-day delivery sector with its innovative marketplace platform technology that connects businesses and delivery professionals, enhancing customer experience and reducing costs for clients.

Houston-based TUYA Technologies is transforming the B2B same-day delivery industry by connecting businesses with delivery professionals with the recent launch of their proprietary digital platform that cuts out the middleman and increases efficiency in same-day deliveries.

"We're interested in building technology that makes the movement of packages, parcels, and pallets of things move expeditiously across the city of Houston, not the next day, or second day like some of our competitors," says TUYA's CEO and co-founder, John Oren. "Our technology is focused on delivering packages in one or two hours and connect businesses directly to delivery professionals that own the equipment."

The company has launched in Houston and is used locally by more than 300 registered customers and 70 independent delivery professionals with more than 1,500 deliveries per week.

TUYA plans to continue to expand in the Texas market as they continue to raise capital, closing their most recent funding round at $16.9 million in September 2019. They are planning to launch their technology in the San Antonio market in a week quickly followed by their expansion into Dallas and Austin after that. Their goal is to expand its services across the 21 major cities in the U.S.

"Our management team is geared to bring our business plan to reality by expanding and introducing our new technology to new markets," says Oren.

TUYA has simplified the process by removing middlemen and adding new technology. To order, businesses can use the TUYA website or the TUYA Shipper App, removing the need for customer service representatives to take orders. There they can also select preferred delivery professionals to deliver their orders. The technology allows the client to get upfront pricing, real-time delivery tracking updates and even speak with drivers directly.

"In today's world, we all want our stuff delivered, conveniently, efficiently, and most importantly economically," says Oren. "The business that is able to develop the cheapest cost will beat the competition. Our technology is geared to extract this locked up value by removing added logistics costs involved in getting something picked up in one business and delivered to another."

The TUYA platform also provides drivers with the flexibility to drive at their own schedule and work multiple deliveries at once, reducing their downtime and increasing the number of deliveries. This added freedom allows delivery professionals to choose the deliveries they want without restrictions while using TUYA's optimized routes for efficiency.

TUYA Technologies began in 2015 after Oren realized the necessity to update the B2B delivery sector to the low-cost and speed-driven delivery needs of the 21st century. Oren, who started his own delivery business more than 40 years ago says he saw little innovation in the market, with companies wasting valuable time and efficiency.

"The waste inherent model of the 1970s was still being applied to today's industry, thus wasting time, effort and resources," says Oren. "I knew that integrating the right technology could turn the same-day delivery industry on its head."

TUYA co-founders invested $12.5 million of their own capital, along with an additional $20 million. After a period of market research, they began acquiring local delivery companies such as Hot Shot Delivery and Primer Delivery Services, providing same-day delivery to retailers, supply companies, and wholesale distributors among others.

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Houston ecommerce scale-up company acquires Amazon advertising partner

all aboard

A Houston tech company has tapped an Amazon partner in a strategic acquisition and is bringing the company's full team on board.

Cart.com acquired Ohio-based Amify, a company that provides optimization and advertising solutions. The terms of the deal were not disclosed but Cart.com will on board Amify’s entire employee base, including its founder Ethan McAfee, CEO Chris Mehrabi, and COO Christine McCambridge.

As chief delivery officer, Mehrabi will take the helm of Cart.com’s professional services business and McCambridge will lead Cart.com’s marketplace services team as vice president of marketplace services operations.

“I’m happy to welcome the entire Amify team to Cart.com and have industry veterans Chris Mehrabi and Christine McCambridge join our leadership team,” Cart.com Founder and CEO Omair Tariq says in a news release. “Amify has been widely recognized for their expertise and technology and we’re excited to leverage their experience to help our customers maximize their potential across channels.”

Cart.com's membership will have access to Amify's proprietary technology platform, including advertising, creative content, supply chain strategy, and analytics. The company, which was founded in 2011, currently supports over 50 global brands and manages approximately $1 billion in gross merchandise value. According to LinkedIn, Amify has over 50 employees.

“We could not be more excited to join Cart.com and leverage the company’s resources and scale to deliver value to both our customers and employees,” Mehrabi says. “I’m honored to step into the role of Chief Delivery Officer and contribute to Cart.com’s incredible growth story and innovative reputation.”

Founded in Houston in 2020, Cart.com provides comprehensive physical and digital infrastructure for online merchants. The company raised a $60 million series C and grown its customer base to over 6,000 users. After making several acquisitions, the company also operates 14 fulfillment centers nationwide.

Earlier this year, Tariq sat down with the Houston Innovators Podcast to share a bit about how the company is currently in scale-up mode.

Houston health tech innovator collaborates on promising medical device funded by DOD

team work

The United States Department of Defense has awarded a grant that will allow the Texas Heart Institute and Rice University to continue to break ground on a novel left ventricular assist device (LVAD) that could be an alternative to current devices that prevent heart transplantation and are a long-term option in end-stage heart failure.

The grant is part of the DOD’s Congressionally Directed Medical Research Programs (CDMRP). It was awarded to Georgia Institute of Technology, one of four collaborators on the project that will be designed and evaluated by the co-investigator Yaxin Wang. Wang is part of O.H. “Bud” Frazier’s team at Texas Heart Institute, where she is director of Innovative Device & Engineering Applications Lab. The other institution working on the new LVAD is North Carolina State University.

The project is funded by a four-year, $7.8 million grant. THI will use about $2.94 million of that to fund its part of the research. As Wang explained to us last year, an LVAD is a minimally invasive device that mechanically pumps a person’s own heart. Frazier claims to have performed more than 900 LVAD implantations, but the devices are far from perfect.

The team working on this new research seeks to minimize near-eventualities like blood clot formation, blood damage, and driveline complications such as infection and limitations in mobility. The four institutions will try to innovate with a device featuring new engineering designs, antithrombotic slippery hydrophilic coatings (SLIC), wireless power transfer systems, and magnetically levitated driving systems.

Wang and her team believe that the non-contact-bearing technology will help to decrease the risk of blood clotting and damage when implanting an LVAD. The IDEA Lab will test the efficacy and safety of the SLIC LVAD developed by the multi-institutional team with a lab-bench-based blood flow loop, but also in preclinical models.

“The Texas Heart Institute continues to be a leading center for innovation in mechanical circulatory support systems,” said Joseph G. Rogers, MD, the president and CEO of THI, in a press release.

“This award will further the development and testing of the SLIC LVAD, a device intended to provide an option for a vulnerable patient population and another tool in the armamentarium of the heart failure teams worldwide.”

If it works as hypothesized, the SLIC LVAD will improve upon current LVAD technology, which will boost quality of life for countless heart patients. But the innovation won’t stop there. Technologies that IDEA Lab is testing include wireless power transfer for medical devices and coatings to reduce blood clotting could find applications in many other technologies that could help patients live longer, healthier lives.

Houston investor on SaaS investing and cracking product-market fit

Houston innovators podcast episode 230

Aziz Gilani's career in tech dates back to when he'd ride his bike from Clear Lake High School to a local tech organization that was digitizing manuals from mission control. After years working on every side of the equation of software technology, he's in the driver's seat at a local venture capital firm deploying funding into innovative software businesses.

As managing director at Mercury, the firm he's been at since 2008, Gilani looks for promising startups within the software-as-a-service space — everything from cloud computing and data science and beyond.

"Once a year at Mercury, we sit down with our partners and talk about the next investment cycle and the focuses we have for what makes companies stand out," Gilani says on the Houston Innovators Podcast. "The current software investment cycle is very focused on companies that have truly achieved product-market fit and are showing large customer adoption."



An example of this type of company is Houston-based RepeatMD, which raised a $50 million series A round last November. Mercury's Fund V, which closed at an oversubscribed $160 million, contributed to RepeatMD's round.

"While looking at that investment, it really made me re-calibrate a lot of my thoughts in terms what product-market fit meant," Gilani says. "At RepeatMD, we had customers that were so eager for the service that they were literally buying into products while we were still making them."

Gilani says he's focused on finding more of these high-growth companies to add to Mercury's portfolio amidst what, admittedly, has been a tough time for venture capital. But 2024 has been looking better for those fundraising.

"We've some potential for improvement," Gilani says. "But overall, the environment is constrained, interest rates haven't budged, and we've seen some potential for IPO activity."

Gilani shares more insight into his investment thesis, what areas of tech he's been focused on recently, and how Houston has developed as an ecosystem on the podcast.