Veho, a consumer services startup based in San Francisco, has raised $125 million in Series A funding to provide e-commerce brands with a next-gen delivery solution that satisfies their clients’ needs.
The round was led by General Catalyst at a $1 billion valuation, granting the Veho unicorn status. Firms like Construct Capital led by Rachel Holt, Bling Capital, Industry Ventures, Fontinalis Partners, and Origin Venture also participated, bringing the total funding raised by the startup to $129.2 million. Kyle Doherty, Managing Director at General Catalyst, referred to the firm’s trust in the startup by stating:
“The role of last-mile logistics in e-commerce is more important than ever and Veho is bringing much-needed innovation to a space that has for years struggled to keep up with the dramatic increase in demand while focusing on a superior consumer experience. Ita, Fred and the Veho team are re-imagining how delivery logistics can be architected to bring a competitive advantage to e-commerce brands while creating more opportunities for delivery professionals that choose to join the Veho platform.”
Veho was founded with the mission to revolutionize the package delivery industry by providing brands with a fast and tech-forward delivery solution that ensures customer satisfaction. The startup has been able to achieve 99.9% average on-time performance on next-day deliveries, which has translated to rapid growth. Veho CEO and co-founder Itamar Zur, said in this regard:
“We’re providing e-commerce brands a fast, tech-forward and customer-centric delivery option that ensures brand perception makes it past the purchase, all the way through to the customer door. We avoid many of the traditional pitfalls of logistics and shipping through advanced proprietary technology, a culture that places the customer experience at the center of everything we do and our partnership with professional and qualified crowdsourced drivers. We’re in 14 US cities today and expect to be serving brand partners and consumers in every major market by the end of 2022, including introducing and scaling our doorstep returns program.”
E-commerce has become increasingly popular over the past years, especially amid the COVID19 pandemic, with experts expecting it to be worth $4.89 trillion by the end of the year according to eMarketer. With on-time delivery being one of the most relevant metrics when it comes to customer satisfaction, Veho is changing how brands interact with their customers by going above and beyond and providing them with live notifications and personal delivery instructions.