Shippeo, the provider of real-time, multi-modal visibility solutions for supply chains, has announced a $40 million funding round, bringing its investments to date to over $110 million as the company advances the global expansion of its industry-leading visibility platform.
All existing investors participated in the new round, including Battery Ventures, Partech, NGP Capital, ETF Partners, Bpifrance Digital Venture and SAP.io, alongside new strategic investors LFX Venture Partners based in Hong Kong and Yamaha Motor Ventures based in Japan , whose investments will help increase operations in the Asia-Pacific region.
The investments will support Shippeo’s mission of helping shippers and shippers operate more collaborative, automated, sustainable, profitable and customer-centric supply chains by leveraging global partner networks, real-time data and AI to enable better ecosystem collaboration. Supply chains, viewed by many organizations as the heart of their operations, can now benefit from highly accurate, real-time operational visibility and flawless workflow orchestration, critical to managing the unprecedented challenges, uncertainties, and financial fallout of disruptions that plague organizations have become face.
“Given the challenging economic climate we find ourselves in, the fact that each of our existing investors has seized the opportunity to reinvest is a strong vote of confidence in us, thanks to the significant growth rates and the enviable customer satisfaction we have been able to maintain,” explains Shippeo CEO Pierre Khoury. “This funding round benefits from the addition of some notable new investors and is the largest for any supply chain visibility software in Europe to date. She helps us strengthen our solid financial position for many years to come and accelerate our continued expansion in North America and APAC. At the same time, we give customers and partners confidence in the longevity potential of our partnerships.”
Impressive growth trajectory
Over the past 12 months, Shippeo’s company valuation has increased by 70%, with a lean approach to cash burn helping to maintain a secure financial position and a clear path to profitability. Over the past 3 years, Shippeo has grown from a regional leader to a global leader in real-time shipment visibility, growing subscription revenue by 80% annually and adding 150 enterprise-level global customers to its books including Coca-Cola HBC, Renault, AkzoNobel , Philip Morris International and Jaguar Land Rover. In parallel, the company has kept the churn rate below 4%.
Shippeo’s expansion, which launched in the North American market earlier this year, maintains momentum through a recently announced partnership with e2open (NYSE: ETWO), the SaaS platform for connected supply chains with the largest multi-enterprise network . Shippeo’s carrier network also grew to over 150,000 worldwide, with active tracking in 92 countries on every continent, including complex tracking regions such as the Middle East, Africa and Asia Pacific.
The growth was supported by a tripling of the team size to over 220 employees. The company has welcomed several top-tier executives, including London-based Anand Medepalli as Chief Product Officer, formerly at BlueYonder and ServiceNow, Paris-based Philippe van Hove as Chief Revenue Officer, formerly at Zuora and Lacework, and San Francisco-based Chris Mazza as SVP of International Growth, previously at ClearMetal.
Best-in-class data quality, features, and user experience
Shippeo’s goal is to be the leading supply chain operating system, enabling fully automated and sustainable supply chains around the world, offering the highest data quality and ETA accuracy available on the market. Earlier this year, Shippeo announced several key product developments that offer new capabilities and opportunities for customers. This included an enhanced ocean tracking solution with an enhanced user experience and powerful monitoring capabilities as part of what the company describes as the market’s first truly unique platform for tracking end-to-end shipments across all modes of transport.
Shippeo also introduced a new Carbon Visibility Dashboard to make it easier for both shippers and carriers to monitor carbon emissions from transportation and distribution activities. In parallel, tracking ETA accuracy has increased by a whopping 32% and rail visibility capabilities have been enhanced through a new partnership with leading provider of rail and intermodal transport management systems, Everysens.
Michael Brown, General Partner at Battery Ventures, is excited about Shippeo’s prospects. “We see a bright future for Shippeo. The fact that the company continues to attract and serve such high-quality, enterprise-level customers is a testament to its team’s focus on customer centricity from product development to solution consulting, deployment and support. More notably, they have managed to achieve a market-leading position with comparatively little funding and better cash efficiencies compared to some of their direct competitors, thanks to strong leadership and the highly skilled team they have attracted.”