Deliv, a Bay Area-based same day delivery startup announced its acquisition of Zipments, another same-day delivery startup. The financial terms of the deal has not been disclosed.
Founded in 2012, the crowdsourced same-day delivery logistics startup works with retailers like Best Buy and Macy’s and other startup companies like BloomThat and Laundry Locker to deliver items. Its offers delivery through a network of independent contractors. The startup claims that it enables retailers to do same-day delivery which thereby allows the retailers to stay competitive with the e-commerce market and serve without having their own delivery system. Daphne Carmeli, CEO and founder said, “We are not a consumer site, so I will never compete with my clients and I will never monetize the data of my clients.”
Deliv was on a look-out to expand its market in New York and other areas in East Coast which is when its spotted Zipments as an attractive company for acquisition. Garrick Pohl, founder and CEO of Zipments, the acquisition deal was came over after Deliv and Zipments started to discuss a partnership in the summer.
The acquired company Zipments is another same-day delivery startup that has a mobile app to connect couriers, retailers and consumers for same-day delivery service. The pickup requests are made through the Zipments mobile app or website or by choosing Zipments during the check-out process while shopping online with that retailers.
With the acquisition of Zipment, it allows Deliv to offer same-day service for nealry 4000 clients all over USA: marquis brands, on-demand companies like Casper, local merchants and large corporate clients who requires delivery system to send packages to other towns. Further to the acquisition, Zipments will continue to function as an independent entity for a few months before the two merge and rebranding may take place sometime next year.
“The experience for customers will stay the same,” Pohl said. “We’ve proven the demand for fast and flexible delivery within the hour, and there’s now a large market for on-demand delivery. Through their experience with Amazon, customers are familiar with getting things fast and easy. But we’ve learned it takes a massive amount of resources to support large online retailers, so I think we’ll start to see more consolidation of companies [in the delivery sector].”