Canadian eCommerce firm Shopify Inc. is in discussion to purchase technology startup Deliverr, people familiar with the matter told Bloomberg Wednesday (April 20).
If Shopify can close the deal — or finalize the purchase, to put it another way — it would broaden its reach in fulfillment services, the report noted.
Sources told Bloomberg that the acquisition could value Shopify at more than $2 billion, but that the company has made no final decision on its next steps and discussions could fall apart before a deal comes to fruition.
A representative for Shopify declined to comment to Bloomberg while representatives for Deliverr didn’t immediately respond to its requests for comment.
Deliverr helps merchants on Amazon, eBay and other online marketplaces get their products to consumers in two days or less, according to its website. That speedy delivery is a necessity for retailers today in an environment where shoppers want their purchases immediately after they make them.
That mentality became particularly pronounced when the COVID-19 pandemic began its spread around the world and isn’t likely to be slowed down, even after the pandemic subsides.
Deliverr relies on analysts to predict where people might be interested in buying art supplies, makeup, shampoo and other goods, then uses the information about people’s wants and needs to ensure those items can be delivered quickly.
If the companies move forward, it would mark Shopify’s largest acquisition and would serve as a complement to its subscription-based software that allows users to set up an online store.
Last week, relationship commerce company Ordergroove joined the new subscription category of the Shopify Plus Certified App Partner directory.
Related: Ordergroove Joins Shopify’s ‘Certified App’ Club
Ordergroove helps clients gain more value from subscriptions, including adding incentives for customers and giving businesses more ways to see analytics. Last year, the company saw a 70% increase in subscriptions and a 73% rise in new customers.
The Certified App directory ensures Shopify Plus merchants can find and connect with trustworthy, high-performing apps, per the announcement. Shopify Plus brands that use Ordergroove to connect with customers include OLLY, Clif Bar, Peet’s Coffee and Enfamil.
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