Shutl secures Otto funding
Additional funding will fuel emerging fulfilment service providers global expansion plans starting in the US
E-commerce delivery service Shutl recently annouced that it has secured an additional $3.2 million (£2m) in equity investment.
The funds will be mainly used to fund the company’s planned North American launch during the first quarter (Q1) of 2013 and was led by Shutl’s existing shareholders and two new investors, e.ventures and Notion Capital. The news follows a $2 million investment earlier in the year from UPS Strategic Enterprise Fund, Hummingbird Ventures and others.
Shutl’s point-to-point delivery model enables delivery of online purchases, either within minutes of purchase or a 1-hour window of the shopper’s choice. The service is already offered across the UK by a handful of major retailers, including Argos and Aurora Fashions.
Major regional expansion plans
The new funds will enable Shutl launch its service across North America, starting with New York and San Francisco in Q1 2013 via a number of multichannel retailers. Phase two will see the service roll out across 10 additional North American cities, including Atlanta, Boston, Chicago, Houston, Los Angeles, Miami, Philadelphia, Washington, Montreal and Toronto.
Andreas Haug, partner at e.ventures, said: “We are convinced that innovative logistics concepts that enable a faster, more comfortable and more reliable delivery will act as significant growth engines for ecommerce. In addition, offline retail will benefit from these solutions, which allows local retailers to acquire and retain customers online. Shutl is the pioneer in this segment and perfectly positioned to enter international markets. We are excited to work with Tom and his team on an international basis and grow this business to become the worldwide leader in local delivery.”
Aiming to disrupt fulfilment market
“Notion looks to invest in fast-growing, internet-based businesses with the potential to disrupt large, and often complacent, markets – in this way Shutl is a great fit for us,’ said Jos White, partner at Notion Capital. “Shutl provides an innovative solution to the ‘last mile’ delivery challenge giving customers the products they want, when they want them. We couldn’t be more excited to be making this investment and believe they can build both a large and global business.”
Tom Allason, founder and chief executive of Shutl added that the company would be abel to capitalise on the wealth of experience e.ventures and Notion Capital have as both investors and entrepreneurs launching disruptive web-services all over the world “We are delighted to be supported by them and our existing investors in our efforts to build a brand that changes delivery forever, in the UK, the US and beyond,” he commented.