Why ShipBob Is Quickly Becoming The Best E-Commerce Fulfillment Service – Forbes
Summary
ShipBob Is rapidly emerging as the top SMB fulfillment service
ShipBob
The pandemic created enormous consumer demand for online shopping, which fueled e-commerce growth at a dizzying pace. That boom shows no signs of slowing. Retail e-commerce sales already totaled more than $222 billion in just the first half of the year. And as more and more consumers shift to shopping primarily online, that rapid growth will continue.
This sudden chang…….
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ShipBob Is rapidly emerging as the top SMB fulfillment service
ShipBob
The pandemic created enormous consumer demand for online shopping, which fueled e-commerce growth at a dizzying pace. That boom shows no signs of slowing. Retail e-commerce sales already totaled more than $222 billion in just the first half of the year. And as more and more consumers shift to shopping primarily online, that rapid growth will continue.
This sudden change in consumer behavior has created an enormous opportunity for many small and medium-sized businesses (SMBs) to significantly grow their e-commerce sales. However, this growth also presents a host of challenges, especially considering the current world-wide supply chain dilemma. All of that means SMB owners are being forced to shift their attention away from what they love to do in order to focus on necessary but tedious tasks. Their time is swallowed up by picking, packing, and shipping orders.
Entrepreneurs start their businesses to solve problems and delight their customers with unique products and solutions. They don’t start businesses with a vision of spending their days thinking about logistics. Well, correction. Most entrepreneurs don’t. The co-founders of ShipBob, on the other hand, found purpose in handling the messy, time-consuming fulfillment stuff so other entrepreneurs can focus on the bigger picture of their businesses.
In 2014, Divey Gulati and Dhruv Saxena were looking to solve a shipping pain point they were facing in their own e-commerce business. They knew that the challenge of striking a balance between time- and labor-intensive order fulfillment and the work necessary to help the business grow wasn’t unique to their experiences. Meeting customer expectations and matching the bar set by Amazon Prime’s two-day delivery can create a logistical bottleneck for any e-commerce business looking to scale up.
And it is a high-stakes undertaking. In a recent survey, 47% of customers said a bad order fulfillment experience could be a dealbreaker in earning their repeat business.
Rather than simply finding a solution to their own challenges, they opted to build a supply chain that could support other growing e-commerce brands. Divey and Dhruv’s company, ShipBob, launched through Y Combinator not long after. They focused on a clearly defined purpose—help e-commerce businesses succeed and scale by making world-class logistics and fulfillment accessible to them, whatever their size.
Today the Chicago-based company has reached prestigious unicorn status, raised $330.5 million in funding, and operates a global logistics network with 26 fulfillment centers across 5 countries. But they started like many of the 5,000 merchants they now serve—navigating the ups and downs of fulfilling their dream to make the world a little better by building a business they love.
The first test of Divey and Dhruv’s mission and model was on the streets of Chicago. They knew firsthand that e-commerce business owners had regular standing dates at the post office counter. So that’s where they started, standing outside …….