Published on

Shopify Outsources Logistics to Flexport

Shopify Outsources Logistics to Flexport

Shopify, the leading e-commerce platform, has recently announced the sale of its Logistics unit to Flexport, an international supply chain technology company. This strategic move allows Shopify to focus on its core business while benefiting from Flexport's expertise in global freight services.

Details of the Deal

Shopify had previously developed its own logistics and delivery operations, which included the acquisition of last-mile delivery company Deliv for $2.1 billion. However, the company has now decided to divest this unit and partner with Flexport instead. As part of the deal, Shopify Merchants will gain access to Flexport's freight services.

Flexport CEO Dave Clark believes that this collaboration will enable them to enhance their shipping capabilities and better serve Shopify Merchants, regardless of whether they use Amazon, Walmart, or Shopify as their primary platform.

Under the agreement, Shopify will continue to operate its Shop Fulfillment Network app and act as Flexport's official logistics provider. Additionally, they will be the preferred partner for the Shop Promise badge, which assures customers of reliable and timely deliveries.

Keywords

  • Shopify
  • Flexport
  • Logistics unit
  • E-commerce platform
  • Supply chain technology
  • Global freight services
  • Last-mile delivery
  • Shop Fulfillment Network app
  • Shop Promise badge

FAQ

  1. What unit was sold by Shopify?

    • Shopify has sold its Logistics unit to Flexport, an international supply chain technology company.
  2. What services will Shopify Merchants gain through the partnership?

    • Shopify Merchants will have access to Flexport's freight services.
  3. What will Shopify focus on after selling its Logistics unit?

    • Shopify will concentrate on its core e-commerce business.
  4. Who is the CEO of Flexport?

    • The CEO of Flexport is Dave Clark.
  5. What benefit does Flexport expect from this collaboration?

    • Flexport anticipates it will be able to enhance its shipping capabilities and better serve Shopify Merchants, regardless of which platform they use.
  6. What role will Shopify play after the deal?

    • Shopify will continue to operate its Shop Fulfillment Network app and act as Flexport's official logistics provider. Additionally, they will be the preferred partner for the Shop Promise badge.