During a gold rush, sell shovels: journey of Shiprocket's 5X growth: Kalagato

This data was sourced from KalaGato. KalaGato's granular, real-time insights can make your marketing smarter.

As India reels with another wave of the pandemic, lockdowns and ‘curfews’ (lockdowns by another name) force people to stay inside, e-commerce and logistics take centerstage once again. That the pandemic has given a jump-start to e-commerce, bringing hordes of first time buyers online is well known; large conglomerates as well as Mom and Pop stores went online last year in a bid to remain in-step with changing consumer behavior.

As e-commerce grew and brands pivoted, it was MSB’s (medium and small businesses) that struggled to find footing in a disrupted market – it is here that logistics firms like Shiprocket came to the rescue. Shiprocket was incorporated in 2017 to provide a full stack shipping solution to SMEs, aggregating logistics partners and proving shipping solutions to D2C sellers. From providing step by step guidance to first time online sellers to partnering with well-known brands like Koovs, Bausch and Lomb, Boat, Mamaearth and XYXX, ShipRocket’s growth story has been solid.

In a year they have grown over 5X in terms of customers installing their app and kept usage consistent.


Most companies that experience this sort of growth, rarely sustain usage metrics. These new users are B2B customers looking for logistics & fulfillment services… which makes achieving these numbers doubly impressive.


Sharp growth coming from beyond metros and influx of rookie merchants meant Shiprocket had to pivot themselves – providing the whole host of solutions in a mobile-first environment and streamlining on-boarding services.

During a gold rush, sell shovels.

Shiprocket has raised – $27 Million from Tribe Capital & March Capital. According to a Welspun One Logistics Park report, the warehousing and logistics industry is estimated to grow at 35% in 2021 compared to the earlier forecast of 25%.

With the rise of more digital first brands, logistics and delivery can only grow - to be sure, direct to consumer channels can help marketers control their messaging better, explore greater opportunities to upsell, and increase profitability.

While marketplaces provide distribution, maintaining visibility over a sustained period is expensive. Players like Shadowfax have also tied up with Drums Food International (of Epigamia fame) to manage their end-to end logistics. Between consumers clamouring for instant gratification, big brands tying up with 3PL partners for last mile delivery and the likes of Amazon/ Flipkart/ JioMart/ Swiggy and Dunzo upping the stakes, its companies like ShipRocket that are providing pickaxes for the goldrush.


News in the domain of Advertising, Marketing, Media and Business of Entertainment

More in Media