Shiprocket inks agreement to acquire Pickrr in a USD 200 million deal
The two platforms process 10 million shipments per month with a substantial customer base of 75K+ merchants, including D2C brands, SME e-tailers, and social commerce sellers
In a significant development in the e-commerce enablement industry, Shiprocket, India's largest tech-enabled shipping and fulfilment platform, has inked a deal to acquire a majority stake in Pickrr, the country's fastest-growing e-commerce SaaS platform for D2C brands and SME e-tailers.
The deal value is estimated at USD 200 million, comprising cash, stock and earn-out. The consolidation now also creates a single gateway for other enablers and suppliers to service the ever-growing digital retailer community. It aims at strengthening its position as the leading D2C enablement operating system.
Shiprocket and Pickrr cater to India's burgeoning D2C sector. Both platforms have built robust technology stacks and operational excellence to enable their customers to benefit from their unparalleled growth in the e-commerce ecosystem. While both platforms operate in the same sector, they have complementary value propositions and customer segments that will act mutually beneficial post the acquisition.
True to their mission to democratise e-commerce, together Shiprocket and Pickrr will give every retailer in India a single platform to seamlessly manage their shipping, fulfilment, customer engagement, and overall back-office operations seamlessly.
More specifically, they will empower D2C brands and lakhs of SME e-tailers and social commerce retailers with a full-stack logistics and fulfilment platform, including same-day and next-day shipping, quick fulfilment, fast check-out, easy returns, and cross-border shipping, among many other features and services.
Given both Shiprocket and Pickrr process billions of data points every month, their combination also allows the companies to merge their intelligence around 3PL performance and consumer behaviour at every step of the e-commerce journey. This will greatly help retailers with their operational performance, lower logistics costs, as well higher conversions from consumers.
Saahil Goel, Co-Founder and CEO of Shiprocket, said, "We are excited to have Pickrr as part of the Shiprocket family, combining the two largest platforms enabling direct commerce. Together, we will define the future of e-commerce enablement in India, creating the most comprehensive enablement software stack that every retailer can use to drive success in their digital journeys. We have a once-in-a-lifetime opportunity to define how retailers interact with logistics operators and consumers to create consumer delight. Shiprocket and Pickrr are uniquely positioned to capture this opportunity by laying the building blocks of this software infrastructure. We look forward to building a formidable e-commerce logistics ecosystem with our complementary products and customer segments."
The combined platform will be a boost for the ecosystem comprising of shipping partners, warehouse providers, shopping carts, marketplaces, ERP systems, payment players, identity and credit information providers and many more by making them accessible to the D2C brands through the hundreds of integrations it has with these players. This consolidation also enables the shipping partners to align strategically and engage more closely and cohesively with the combined entity to create more value in last-mile logistics for the 75k+ merchant base.
The combined entity is on its journey to build an operating system for direct commerce - a new age, pure-software infrastructure stack, completely asset-less and growing profitably at 100% Y-O-Y. Both businesses, which individually were on track for full-year profitability, once combined will help accelerate that trajectory along with IPO timelines.
Gaurav Mangla, Co-Founder of Pickrr, said, "As we analysed what the acquisition of Pickrr could mean, we were certain that it would be mutually beneficial, not just for the two platforms, but the entire e-commerce logistics space. Both Shiprocket and Pickrr are frontrunners in the industry, and we are keen to work closely with them to build futuristic solutions and transform the e-commerce logistics sector by driving it to its next growth phase.".
Established in 2017, Shiprocket started its journey by building a DIY technology stack focusing on social sellers and SMEs. On the other hand, since 2018, Pickrr has built an operation-plus-technology offering for larger brands and enterprises. The combined entity now will boast a top-of-the-line product offering that cuts across customer segments and democratises e-commerce.