The previous funding round was $240 million Series F led by Tiger Global which valued the company at $2 billion post-money.
Recently Shopify has announced that it will acquire San Francisco, California-based e-commerce fulfilment start-up, Deliverr, for $2.1 billion in cash and stock. The deal, which was rumoured to have been reported in April by Bloomberg a software company, which was the largest acquisition in Shopify’s history, and Shopify founder and CEO Toby Lutke says it will help the company build an “end-to-end logistics” platform for millions of merchants.
Toby Lutke wrote in a blog about the acquisition that “Our goal is to not only level the playing field for independent businesses, but tilt it in their favour turning their size and agility into their superpower. Together with Deliverr, SFN will give millions of growing businesses access to a simple, powerful logistics platform that will allow them to make their customers happy over and over again.” Shopify Specifically says that Deliver will combine with the Shopify Fulfilment Network (SFN), Shopify’s fulfilment service so that merchants can use to store inventory and fulfill orders and SFN’s merchant inventory management capabilities to strengthen more. Deliver’s technology a new service that will provide customers with two-day and next-day delivery, as well as expanded options for warehousing, freight, inventory preparation and returns.
Toby Lutke wrote in a blog about the acquisition that “Our goal is to not only level the playing field for independent businesses, but tilt it in their favour turning their size and agility into their superpower.
According to a statement of Harish Abbott, Deliverr co-founder and CEO, “Our technology and expertise in inventory management, inventory placement, and demand chain combines perfectly with Shopify’s roadmap, enabling us to now build an end-to-end logistics platform together. Shopify has been building the future of merchant-first fulfillment solutions, and our team has a track record of helping businesses of all sizes streamline their operations.
We’re excited to join Shopify in their mission to make commerce better for everyone while democratizing shipping and fulfillment for independent entrepreneurs.” In 2017 Deliver was co-founded by former Symphony Commerce associates Abbott and Michael Krakis, and raised it to $490.9 million in capital prior to the Shopify purchase. The previous funding round was $240 million Series F led by Tiger Global which valued the company at $2 billion post-money. Later on, Matt Moorut Gartner analyst said to media through social media platform that, “Retailers have been engaged in a race to the bottom with delivery options for years, but it really got heightened after the pandemic began, when digital commerce sales picked up massively. There’s an interesting competition heating up between Amazon and Shopify, with Amazon recently encroaching on Shopify’s turf through Buy with Prime and Shopify certainly taking aim at taking a larger share of the online retail opportunity. The Deliverr tie up promises to add value to retailers that are already using Shopify to power their carts. If Shopify can integrate Deliverr’s offering into their existing platform, it promises to give a lot more security to online retailers that they’ll be able to continue selling, whatever further disruptions lie ahead.” Using predictive analytics and machine learning, Deliverr, has rents warehouse space so that it can pick up and pack e-commerce orders, demand products based on geography and other variables.
Shopify has been building the future of merchant-first fulfillment solutions, and our team has a track record of helping businesses of all sizes streamline their operations.