Shippo Raises $50 Million in New Funding
Just three months after our last funding announcement, we are excited to announce that we are now valued at $1 billion with another $50 million of capital raised to further accelerate our mission to allow every e-commerce merchant to ship at scale.
This new round is led by Bessemer Venture Partners (BVP) with Talia Goldberg and Jeremy Levine leading the deal. Jeremy and Talia have been involved in Shippo since our series B in 2017 and Jeremy has served on the Shippo board since. As insiders, BVP has seen Shippo grow over the last four years and recent milestones have led them to double down on the business.
Since the last round of financing, we have now officially reached 100,000 customers who are shipping with Shippo. We have also expanded our leadership team, adding Naveen Sanjeeva as SVP of Engineering and Olivier Adler as Chief Financial Officer.
Shipping is a very offline-centric industry. E-commerce merchants are faced with customer expectations that are moving towards faster and faster shipping for free. Existing shipping providers have been at capacity trying to keep up with the significant increase of volumes coming from e-commerce shipping. Shipping shouldn’t be this hard. We at Shippo are the shipping team for more than 100,000 merchants, enabling them to ship at scale. In a world where we are successful, every merchant can ship like Amazon without having to become logistics experts.
Our focus for this year remains unchanged:
We are great at powering shipping for platforms. We are intending to do more of that this year, building features that allow platforms and marketplaces to use our API to offer best-in-class shipping to all of their merchants. Platforms for us are storefront providers, marketplaces, inventory and warehouse management systems, 3PLs, and even payments providers.
Platforms have international customer bases. To serve our platform and marketplace partners better, we plan to expand internationally, allowing platforms to offer shipping to their merchants all around the world. We already have a presence in Germany, France, UK, Canada, and Australia, in addition to the US. We plan to expand further in Western Europe and add more regional US carriers as well.
We work with more than 100,000 merchants directly who rely on Shippo for their day-to-day shipping. We will continue to focus on serving our merchants better and make sure they can ship at scale.
This last year, we have begun emerging as the category leader in the shipping API space. With our additional capital, we will be able to reach our vision faster.
We are aiming to:
1. Power all platforms
All platforms aggregating merchants need a shipping interface. We are building the best, out-of-the-box way for platforms to power their shipping features.
2. Power all retailers
All retailers need to ship. We started in the SMB world and are now going upmarket with our API first strategy.
3. Build the largest carrier network in the world as our moat
There is no standard across shipping APIs. Building a super network of shipping providers is a hard technical challenge. Our goal is to build that abstraction layer that lets merchants buy shipping labels across any shipping provider in the world with the same API call.
4. Shipping labels is where we started — we will tackle more shipping adjacent challenges next
Shipping is much more than just a shipping label. It’s how you get to buying the right label, starting with shipping rates at checkout and then tracking and return logistics. Our merchants have more shipping related challenges they need us to solve.
We are building something that’s not been done before — shipping software the way you think shipping software should be built.
If this vision speaks to you: We are hiring.