Shippo raises $30 million in Series C investment

Shippo raises $30 million in Series C to enhance ecommerce shipping experience (Photo: Shutterstock)

Shippo, an integrated shipping and order management platform for ecommerce businesses, announced it raised $30 million in Series C investment. D1 Capital Partners led the round, with participation from Bessemer Venture Partners, Union Square Ventures, Uncork Capital and Version One Ventures. The fundraise takes Shippo’s total funding to $59.3 million – more than doubling investment from its previously raised rounds. 

Laura Behrens Wu, the CEO and co-founder of Shippo, explained that Shippo is changing the traditional supply chain rhetoric from looking at logistics as a cost center to viewing it as a “growth engine.” 

“When used properly, shipping is a tool for businesses to gain consumer confidence, increase conversions, and drive repeat buying by building loyalty. Except many of these benefits have historically been reserved for the savviest and most resource-rich businesses. Shippo is changing that dynamic,” said Behrens Wu. 

Shippo provides a unified technology layer that acts as a one-stop-shop for ecommerce stores looking to offer a great shipping experience for their customers. Shippo helps customers to connect with all the shipping providers, get hold of different shipping rates in the market, compare shipping labels, and get real-time tracking information – all from a centralized interactive dashboard. 

“We’re making shipping an order as easy as sending a text message. Merchants will no longer stress over the right carriers to use, shipping options to show their customers, or labels to purchase. They trust Shippo to optimize for their growth,” said Behrens Wu. 

The startup has shipped over 150 million orders since its inception in 2013, working with more than 35,000 brands – from small businesses to recognized major retailers – including GOAT, hims, OfferUp and Aesop. 

Shippo also named Catherine Stewart its new chief operating officer. Stewart was formerly the chief business officer at Automattic, the company that owns “Shipping has been slower to adapt, with cumbersome and often outdated technology. For many small and mid-sized businesses, shipping goods to customers is still expensive and time-consuming. Shippo’s ability to solve these challenges for both small businesses and large brands positions it well for future growth,” said Stewart. 

Like with most startups, this investment announcement comes later than the actual date when it was raised. This makes Shippo luckier than many companies having to raise money during the COVID-19 pandemic. The company had a very successful 2019, doubling its revenue year-on-year. 

The company forged a critical partnership last year, becoming the exclusive shipping partner of eBay Canada. It now seeks to expand its footprint outside North America, to Europe and Asia-Pacific. Shippo currently works with around 60 shipping partners around the world, and plugs into the merchant ecosystems within Amazon, Shopify, and Wix, among others.