With the acquisition, Shiprocket plans to enhance its capabilities for large, direct commerce organizations. Here are the top-line bullets you need to know.
Shiprocket, an e-commerce logistics startup, has acquired a majority (80%) stake in Pickrr Technologies, an on-demand logistics platform, in a $200M deal.
Total supply chain funding remains elevated in Q1’22. Get the report to learn more.the state of Supply Chain & Logistics Tech q1 2022
WHO ARE THE PARTIES TO THE DEAL?
- Pickrr Technologies: India-based Pickrr Technologies provides logistics services to e-commerce sellers, resellers, SMEs, and other organizations. Pickrr has 75K+ customers and delivers 100K shipments daily. The company has 30+ delivery partners, including Blue Dart, DTDC, Udaan, and Delhivery, and oversees a network of 10 fulfillment centers across India. The startup is supported by a team of about 400 employees.
- Shiprocket: India-based Shiprocket provides automated shipping solutions to direct-to-consumer retailers, SMEs, and e-commerce sellers. It covers 220 countries, including 29K pin codes across India. The company facilitates about 200K deliveries every day, and it reportedly brought in around $50M in revenue in FY’21. Its portal integrates with 17 courier partners, including Gati, Xpressbees, Ekart, FedEx, and Blue Dart. The startup has already made 3 acquisitions in 2022: Wigzo, Glaucus Logistics, and Rocketbox. Shiprocket has around 1K employees.
Source: Pickrr Technologies
WHY DOES THE MARKET MATTER?
- The global logistics market is expected to reach a value of $13T by 2027, growing at a CAGR of 6.5%, according to Allied Market Research.
- The pandemic-induced increase in demand for fast-moving consumer goods (FMCG), medical supplies, and other consumer goods has accelerated the growth of online retail and driven global logistics market expansion.
- Heightened supply chain disruption amid the pandemic has led to increased investments in logistics to drive efficiencies and cut costs.
- Given Amazon’s stronghold over the online retail market, retailers are differentiating by focusing on instant commerce, niche assortment, post-purchase experience, and consolidation through mergers, acquisitions, and partnerships.
