- On-demand warehousing and fulfillment leader FLEXE announced it has raised $70 million in Series C funding. These are the details.
On-demand warehousing and fulfillment leader FLEXE announced it has raised $70 million in Series C funding. This round of funding includes follow-on investments from Activate Capital, Tiger Global, Madrona Ventures, Redpoint Ventures, Prologis Ventures, and several others as well as a first-time investment from funds and accounts advised by T. Rowe Price Associates.
With this round of funding, FLEXE will invest in its team and technology, building solutions that help enterprise-class retailers and brands better execute flexible omnichannel operations.
The COVID-19 pandemic has accelerated the shift to online shopping. And e-commerce sales saw the same rate of growth in 10 weeks as the previous 10 years. This growth — as well as increased consumer demands for fast and free shipping — has exposed the need for businesses to quickly scale and adapt their logistics networks without investing billions of dollars in fixed warehousing infrastructure.
Since the company raised the Series B funding round in May 2019, FLEXE doubled headcount and the company expanded work with customers such as Walmart and Ace Hardware. FLEXE also grew the FLEXE Operator Network by 50% to include over1,500 locations across North America. And FLEXE also invested in engineering and development of the FLEXE Technology Platform, recently launching an integration with Google Merchant Center that enables advertisers to dynamically display delivery promises in Google Shopping ads and increase conversion rates from ad spend by 9%.
KEY QUOTES:
“The T. Rowe Price funds are premier investors, with a pedigree of backing businesses that achieve scale and lead their categories. Their investment, along with that of our returning backers, validates the market opportunity created by dynamic logistics strategies. Starting in March, we saw a massive spike in eCommerce volumes that exceeded the 2019 holiday season. This investment will help us accelerate technology development, bring innovative solutions to market faster, and support the eCommerce volume growth that started early this year and shows no signs of slowing down.”
— Karl Siebrecht, Co-Founder and CEO at FLEXE
“We are excited to invest in FLEXE. Their innovative, technology-first approach to logistics allows companies to capitalize on, rather than suffer from, shifts in consumer behavior. FLEXE is poised to become an impactful company in the logistics industry for the long term.”
— Andrew Davis, Director of Private Investments at T. Rowe Price Associates
