Showing posts with label e-commerce. Show all posts
Showing posts with label e-commerce. Show all posts

Amazon India Commits $300M to Safer Jobs, Faster Deliveries and AI‑Powered Growth

Amazon India Commits $300M to Safer Jobs, Faster Deliveries and AI‑Powered Growth

Amazon India today announced that it plans to invest over INR 2800 crore (~USD 300M) to further strengthen associate safety, health, and financial wellbeing measures while strengthening one of India’s safest, fastest and most reliable operations network. This investment is part of the company’s broader plan to invest more than $35 billion in India by 2030, focusing on business expansion as well as three strategic pillars: AI-driven digitization, export growth, and job creation. Amazon will continue to expand both its core and quick commerce footprint to continue serving customers across India in minutes, hours, and days. This investment builds on the company’s INR 2000 crore (~USD 233M) investment in 2025, which enabled the launch of 17 new fulfillment centers, six sortation centers, and 75 last-mile delivery stations across India. In 2025, Amazon also launched its quick commerce offering, Amazon Now, and has since scaled it to over 300 micro-fulfillment centers across key cities to enable safer, faster deliveries.

Since launching Amazon.in in 2013, we have built one of India’s safest, fastest, and most reliable operations networks, serving customers across every serviceable pin code in the country. At the heart of this network are our people, and we remain committed to raising the bar on associate safety, health, and financial wellbeing. This year, we are investing over INR 2800 crore (~USD 300 million) to further strengthen these efforts, while continuing to scale our operations network and advance the technology that enables faster, safer, and more reliable deliveries for customers. Our initiatives also align with national priorities such as Ayushman Bharat and Pradhan Mantri Jan Dhan Yojana, helping expand access to healthcare and financial inclusion for our associates,” said Abhinav Singh, VP - Operations, Amazon India and Australia.

Strengthening associate safety, health, and financial wellbeing

Amazon’s programs and initiatives for associates working across the network have long been aligned with several of the standards notified under the Labour Codes. This latest investment will further strengthen efforts focused on healthcare and financial security for tens of thousands of associates and partners. The efforts in 2026 include scaling Project Ashray to provide accessible rest facilities for delivery associates, expanding health and wellness programs such as Sushruta - a wide-ranging health and wellness program for long-haul truck drivers and their family members, along with new initiatives, while enabling access to preventive healthcare through nationwide medical camps. The company is also enhancing medical and accident insurance, while extending financial inclusion and social security access through the Samriddhi program by enabling enrolment in schemes like Ayushman Bharat Health Account and Pradhan Mantri Jan Arogya Yojana for Amazon associates and community members. In addition, Amazon continues to support education for associates’ children through the Pratidhi scholarship and mentorship program, reinforcing its commitment to holistic well-being across its operations network.

Investing in infrastructure and technology to strengthen operations

Amazon will invest in expanding and upgrading its pan-India operations network—including fulfillment centers, sortation centers, and delivery stations—to increase capacity and improve delivery speeds for customers in tier 2 and 3 cities across India. These investments will also support sellers and small businesses and contribute to local economic growth. The company also plans to more than double Amazon Now's footprint in the cities it currently operates in and to more cities across India. These investments will enable Amazon to serve customers across a wide range of delivery speeds - from minutes to hours to days, based on their needs.

Amazon's industry-leading facilities are climate controlled and built with advanced engineering systems to improve energy efficiency, enhance workplace safety, and support a more inclusive environment. The company continues to invest in cooling solutions such as enhanced ventilation, fans, spot coolers, access to cold water and hydrating beverages, safety and accessibility features for people with disabilities, and improved rest areas.

Amazon will invest in technology, including artificial intelligence (AI) and machine learning, to make its operations network safer and more efficient. This includes deploying tools to improve on-road safety through alerts for Delivery Service Partners and delivery associates on unsafe driving behaviors, and prompts for rest breaks, as well as using AI models to assess route complexity and enable more equitable workload distribution. It also includes enhancements to the Driver app with better navigation for unstructured addresses, improved earnings transparency, and simplified workflows.

Know more about Amazon’s initiatives for associates in 2026:
  • Expanding rest facilities for delivery associates – Amazon will expand Project Ashray, its network of air-conditioned rest stops, beyond the current 100 locations in Delhi NCR, Bengaluru, Chennai, Mumbai, among others. These facilities provide comfortable seating, clean washrooms, drinking water, charging stations, and first-aid support, serving over 150,000 delivery associates every month, including those outside Amazon’s network.
  • Expanding health and wellness support for associates and drivers – Programs such as Sushruta, a wide-ranging health and wellness program for long-haul truck drivers and their family members, will continue to expand alongside a new wellness program focused on mental health and ergonomic care.
  • Providing access to preventive healthcare – Amazon will offer free health check-ups through nationwide medical camps, extending access to preventive care and building on its 2025 efforts, which included comprehensive health and wellbeing programs for tens of thousands of associates and partners. These ongoing camps provide preventive health screenings (eye, dental, BMI, and physician consultations), hydration guidance, and early detection support.
  • Enhancing insurance coverage and wellness support – Amazon plans to strengthen medical and accident insurance for delivery associates working with Delivery Service Partners through upgraded Group Mediclaim and Group Personal Accident policies, with an integrated wellness package among the most comprehensive in the sector.
  • Enabling access to financial and social security benefits – Through Samriddhi, Amazon will enable tens of thousands of associates and more than 200,000 community members to access government benefits such as e-Shram cards, health insurance, pension programs, and educational assistance across states including Gujarat, Haryana, Tamil Nadu, Karnataka, Maharashtra, Uttar Pradesh and West Bengal, among others.
  • Supporting education for associates’ children – Under the Pratidhi program, Amazon will provide scholarships to children of associates from Class 3 to Class 12, including children with disabilities, along with mentorship from Amazon leaders. In 2025 alone, 5000 scholarships were awarded to associates' children.

Uber Riders Can Now Earn Flipkart SuperCoins on Every Eligible Ride

Uber Riders Can Now Earn Flipkart SuperCoins on Every Eligible Ride

Flipkart, India’s homegrown e-commerce marketplace, today announced a partnership with Uber, one of India’s leading mobility platforms, that allows users to earn SuperCoins on every eligible Uber ride. This initiative advances SuperCoins into a lifestyle loyalty program, allowing users to earn on their daily commute while furthering Flipkart’s vision of building a rewards program akin to India’s loyalty ecosystem; for Uber it adds incremental value to everyday mobility.
  • Flipkart users can earn 4% SuperCoins on eligible Uber rides
  • Combining Flipkart and Uber’s nationwide reach, this unified rewards ecosystem democratizes value for all Indian consumers
  • Rewards can be used across Flipkart, Cleartrip and partners
  • Expands SuperCoins into everyday use cases beyond shopping
By linking their Flipkart and Uber accounts, users can earn 4% of their fare as SuperCoins on every eligible ride, up to 150 coins per trip, with no cap on total earnings. These SuperCoins are credited directly to the user’s Flipkart account and can be redeemed across the Flipkart ecosystem, including Flipkart Minutes, Cleartrip and partner offerings.

This collaboration features limited-time incentives wherein new Uber users, or those who haven’t utilized the app in the last 84 days, can earn 150 bonus SuperCoins by completing their first ride within 28 days of linking accounts. Additionally, users who link their Flipkart and Uber accounts between April 15 and April 30, 2026, and complete their first ride within 28 days, can earn an additional 50 bonus SuperCoins.

Commenting on the partnership, Gaurav Arora, Vice President, Payments and SuperCoins at Flipkart, said, “SuperCoins is evolving into a broader rewards layer across everyday use cases. Mobility is a natural extension, and this partnership with Uber allows us to integrate more seamlessly into how customers transact daily. Over time, we will continue expanding SuperCoins across categories to drive deeper engagement across the ecosystem.”

Arnab Kumar, Director Business Development, Uber India and South Asia, said, “At Uber, we are focused on making everyday mobility more seamless and valuable for our users. This integration with Flipkart allows us to extend additional benefits to riders in a simple and intuitive way, while building on how users engage with everyday services across platforms."

This partnership brings together two high-frequency consumer platforms, extending rewards into everyday use cases like mobility. It reflects a broader shift towards integrating value more seamlessly into how users engage across categories.

About the Flipkart Group

The Flipkart Group is one of India’s leading digital commerce entities with a strong technology-first foundation and includes group companies Flipkart, Myntra, Flipkart Wholesale, Cleartrip, and super.money. Established in 2007, Flipkart has enabled millions of sellers, merchants, and small businesses to participate in India's digital commerce revolution. With a registered user base of more than 500 million, Flipkart’s marketplace offers over 150 million products across 80+ categories. Today, there are over 1.4 million sellers on the platform, including Shopsy sellers. With a focus on empowering and delighting every Indian by delivering value through technology and innovation, Flipkart has pioneered services such as Cash on Delivery, No Cost EMI, Easy Returns, and UPI payments. Beyond shopping, Flipkart continues to create jobs, empower entrepreneurs, and strengthen India’s digital economy.

About Uber

Uber came to India in 2013 with a simple promise: press a button, get a ride. Over a decade later, Uber is live in more than 125 cities and has become #IndiaKiRide - helping millions move the way they need to, every day. From Bikes and Autos to Cars, Metros, and even Buses, Uber brings together India’s diverse mobility options on a single app. Whether it’s a short trip across town or a journey between cities, with a single swipe Uber makes everyday mobility seamless for millions - while enabling more than 1.5 million Indians to earn a sustainable income behind the wheel. As we continue to reimagine how the world moves for the better, our ambition keeps expanding, and our commitment remains unwavering: to keep India moving forward.

Amazon Air Expands to Northeast India, Delivery Speeds to Become 5x Faster

Amazon Air Expands to Northeast India, Delivery Speeds to Become 5x Faster
  • Shri Ram Mohan Naidu Kinjarapu, Hon’ble Minister of Civil Aviation, flags off inaugural Amazon Air flight to Guwahati
  • Amazon is the only e-commerce company in India operating a dedicated air cargo network
  • Expansion will also enable small businesses and entrepreneurs from the region to better serve customers across India
Amazon today announced the expansion of Amazon Air to Northeast India with new air cargo routes connecting Kolkata and Guwahati, further strengthening its logistics infrastructure and connectivity across the region. The addition of dedicated air capacity will significantly improve delivery speed and reliability, enabling customers across the Northeast to access Amazon’s vast selection of products with faster and more consistent delivery.

The service will support deliveries across all seven sister states —Arunachal Pradesh, Assam, Manipur, Meghalaya, Mizoram, Nagaland and Tripura — through Amazon’s integrated air and surface transportation network. By combining dedicated air capacity with its multimodal logistics infrastructure, Amazon expects to reduce transit times and increase delivery speeds by up to five times, bringing customers across the region faster access to a wide selection of products — from everyday essentials to smartphones, consumer electronics, fashion & beauty and more.

The inaugural Amazon Air flight to Guwahati was flagged off from the Indira Gandhi International Airport, New Delhi, by Shri Ram Mohan Naidu Kinjarapu, Hon’ble Minister of Civil Aviation, Government of India, alongside Abhinav Singh, Vice President – Operations, India and Australia, Amazon and Chetan Krishnaswamy, VP Public Policy, Amazon India.

Amazon Air Expands to Northeast India, Delivery Speeds to Become 5x Faster

Amazon Air Expands to Northeast India, Delivery Speeds to Become 5x Faster
Shri Ram Mohan Naidu Kinjarapu, Hon’ble Minister of Civil Aviation and Abhinav Singh, VP, Operations India and Australia, Amazon at the expansion announcement of Amzon air to Guwahati


With Hon’ble Prime Minister Sh. Narendra Modi Ji’s priority focus on the North-East through the vision of ‘Act East, Act Fast, Act First’, infrastructure and connectivity in the North-Eastern region have grown multifold. Today, every state in the North-East has an airport and the number of operational airports has increased from 9 in 2014 to 16 today. Given the North East’s immense potential in horticulture and cargo exports, today’s launch of Amazon Air’s cargo route from Delhi to Guwahati will further support the farmers, artisans and entrepreneurs of the North-East. The Government has also taken several significant interventions to encourage air cargo growth in the country. In Budget 2026, special emphasis has been placed on building air cargo infrastructure and warehousing capacity to strengthen logistics for perishable and high-value products. Additionally, the value cap on courier exports has been removed which will help boost cross-border e-commerce. And I congratulate Amazon for adding to air freight network of the country with today’s milestone launch,” said Shri Ram Mohan Naidu Kinjarapu, Hon’ble Minister of Civil Aviation.

Enhanced logistics connectivity plays a crucial role in empowering local entrepreneurs and expanding market access for businesses, and employment across the Northeast. For sellers in the region, the introduction of Amazon Air services to Guwahati will enable enterprises to connect with customers nationwide. Improved fulfillment speeds will allow businesses to reach a wider customer base and participate more meaningfully in India’s rapidly growing digital economy, while also bringing the benefits of faster and more reliable deliveries to customers and communities across Assam and the wider Northeast region. Such advancements in logistics infrastructure are also expected to generate substantial employment opportunities for local youth. It is hoped that the operationalization of Amazon Air services will further contribute to job creation and support the overall economic growth of the region," said Dr. Ravi Kota, IAS, Chief Secretary, Assam.

Since launching Amazon.in in 2013, we have consistently invested in building one of India’s largest logistics networks to serve customers wherever they live. The expansion of Amazon Air to the Northeast is a natural progression of those investments and reflects our long-term commitment to strengthening connectivity across the country. It also aligns with the Government’s focus on improving logistics infrastructure and unlocking economic opportunity in the region. For customers, this means access to Amazon’s vast selection at 5x better speeds than before, while sellers and entrepreneurs in the Northeast can now reach customers across India faster and more reliably,” said Abhinav Singh, VP – Operations, India and Australia, Amazon.

More About Amazon Air

Amazon Air launched in India in 2023 and has since strengthened the country’s e-commerce logistics network. Amazon is the only e-commerce company in India operating a dedicated air cargo fleet. With two narrow-body freighters, Amazon Air moves tens of thousands of packages daily, enabling safer, faster and more reliable deliveries. Its overnight routes connect major metros including Delhi, Mumbai, Bengaluru, Guwahati and Pune. Amazon also operates air-rail multimodal connections, with onward reach to cities such as Delhi, Guwahati and other parts of the country. Including belly cargo partnerships, Amazon’s air network now serves over 100 origin-destination pairs across India.

About Amazon

Amazon is guided by four principles: customer obsession rather than competitor focus, passion for invention, commitment to operational excellence, and long-term thinking. Amazon strives to be Earth's most customer-centric company, Earth's best employer, and Earth's safest place to work. Customer reviews, 1-Click shopping, personalized recommendations, Prime, Fulfillment by Amazon, AWS, Kindle Direct Publishing, Kindle, Career Choice, Fire tablets, Fire TV, Amazon Echo, Alexa, Just Walk Out technology, Amazon Studios, and The Climate Pledge are some of the things pioneered by Amazon. For more information, visit amazon.com/about and follow @AmazonNews.

Blinkit Secures ₹450 Cr Infusion from Eternal in 2026’s First Funding Round

Blinkit Secures ₹450 Cr Infusion from Eternal in 2026’s First Funding Round

Eternal (formerly Zomato) has infused ₹450 crore (~$50 million) into its quick commerce arm Blinkit via a rights issue, marking its first capital injection in 2026. This follows a massive ₹2,600 crore investment in 2025, underscoring Eternal’s aggressive push to dominate India’s fast-growing 10-minute delivery market.

Key Highlights

  • Amount Invested: ₹450 crore (~$50 million)
  • Mode: Rights issue; Blinkit allotted 2,799 equity shares to Eternal at ₹16,07,161 per share
  • Timing: First capital infusion in 2026
  • Past Investments: Eternal pumped ₹2,600 crore in 2025 (₹500 crore in Jan, ₹1,500 crore in Feb, ₹600 crore in Nov)
  • Competition: Rising rivalry with Zepto and Instamart in the quick commerce space

Strategic Context

  • Market Dynamics: Quick commerce is one of India’s fastest-growing segments, with 10-minute delivery becoming the industry benchmark.
  • Blinkit’s Growth: Reported 117% YoY revenue growth in Q3 FY25, but continues to face profitability pressures due to rapid expansion and high operational costs.
  • Eternal’s Strategy: By consistently infusing capital, Eternal is signaling long-term commitment to Blinkit, positioning it as a core pillar alongside food delivery.

Comparison of Eternal’s Investments in Blinkit

Year Infusion Amount Mode Strategic Intent
2025 ₹2,600 crore (3 tranches) Rights issue Scale operations, expand delivery network
2026 ₹450 crore Rights issue Strengthen position amid intensifying competition

Risks & Challenges

  • Profitability Concerns: Despite revenue growth, Blinkit’s unit economics remain weak, with high delivery costs.
  • Competitive Pressure: Zepto and Instamart are aggressively expanding, forcing Eternal to keep investing heavily.
  • Capital Dependence: Blinkit’s reliance on Eternal’s funding raises questions about sustainability if external capital markets tighten.
India’s quick commerce sector is booming, with Blinkit, Zepto, and Instamart competing for dominance. Zepto and Instamart are expanding aggressively, forcing Eternal to keep funding Blinkit’s growth. Despite strong revenue growth (117% YoY in Q3 FY25), Blinkit continues to face challenges with unit economics and high delivery costs.

Blinkit’s reliance on Eternal’s capital raises sustainability concerns. Zepto and Instamart’s expansion could erode Blinkit’s market share if Eternal slows funding.

Despite revenue growth, Blinkit’s path to profitability remains uncertain. Eternal must balance aggressive expansion with profitability, as rivals are raising funds and scaling rapidly.

In 2026, as Eternal has already infused ₹450 crore into Blinkit, its rivals Zepto and Swiggy Instamart are pursuing aggressive funding and IPO strategies. Zepto is preparing for a ₹11,000 crore IPO, and Swiggy is targeting Instamart break-even by mid-2026 despite heavy losses.

Zepto (2026)

  • Funding: Raised $450M (~₹3,750 Cr) in late 2025 at a $7B valuation, led by CalPERS.
  • IPO Plans: Filed confidential DRHP with SEBI, aiming for a ₹11,000 crore IPO in 2026 at $7–8B valuation.
  • Cash Position: Holds ~$900M net cash, giving strong liquidity ahead of IPO.

Swiggy Instamart (2026)

  • Financials: Reported ₹908 Cr loss in Q3 FY26, highlighting profitability challenges.
  • Growth: Gross Order Value (GOV) grew 108% YoY, with Average Order Value (AOV) up 26% YoY.
  • Profitability Target: Swiggy aims for Instamart break-even by June 2026, supported by a planned ₹10,000 crore fundraise.

Competitive Snapshot

Company 2026 Update Funding/IPO Strategic Focus
Eternal–Blinkit ₹450 Cr infusion (Mar 2026) Rights issue Expansion, working capital
Zepto Preparing IPO ₹11,000 Cr IPO planned Liquidity & market leadership
Swiggy Instamart ₹908 Cr Q3 FY26 loss ₹10,000 Cr fundraise Break-even by June 2026

Risks & Challenges

  • Eternal–Blinkit: Heavy reliance on Eternal’s capital; profitability remains elusive.
  • Zepto: IPO execution risk; valuation pressure in volatile markets.
  • Instamart: Large losses despite growth; break-even target ambitious.

Why Accurate Delivery Tracking Builds Customer Confidence?

Why Accurate Delivery Tracking Builds Customer Confidence?

After placing an order, customers enter a waiting phase filled with expectations. They want reassurance that their purchase is moving as promised. When updates are unclear or delayed, uncertainty begins to replace excitement. This moment often determines how customers judge the logistics service experience.

Accurate updates remove this uncertainty by replacing assumptions with verified updates. Delivery tracking gives customers a clear view of shipment progress from dispatch to delivery. As businesses manage higher volumes of orders across multiple locations, consistency becomes critical.

Reliable visibility ensures customers feel informed rather than left guessing. This transparency strengthens trust at every stage of the delivery journey. Below are the key reasons accurate updates play such a vital role in building confidence.

5 Reasons Accurate Delivery Tracking Strengthens Customer Confidence

Shipment visibility acts as a shared source of information for customers and businesses. It ensures everyone refers to the same status at the same time. Each confirmed scan adds clarity rather than confusion. This alignment directly influences how customers judge service quality.
  1. Reducing Waiting Period Uncertainty
    The waiting phase often creates uncertainty, especially without clear updates. Real-time delivery tracking reassures customers by showing steady progress, reducing anxiety, and building confidence.

    Transparent updates replace vague promises with visible movement, strengthening trust at every stage. Proactive alerts during delays prevent frustration and show honesty.

    Tracking also gives customers a sense of control, allowing them to plan independently. This transparency improves emotional satisfaction and gradually builds long-term loyalty toward the logistics provider.
  2. Reflecting Reliability and Professionalism
    Consistent delivery updates signal well-organized and accountable operations. Accurate delivery tracking reflects attention to detail across logistics workflows. Customers associate this level of precision with professionalism and careful handling of shipments.

    When updates are timely and accurate, confidence in the provider increases. Reliability plays a major role in customer retention. Over time, predictable delivery experiences and professional communication reinforce credibility and position the logistics provider as a dependable choice.

    This operational discipline also supports scalability, enables smoother coordination across regions, and assures customers that service quality remains consistent as delivery volumes grow.
  3. Reducing Support Queries and Delivery Disputes
    Many customer support requests arise due to missing or unclear delivery information. Clear delivery tracking answers common questions automatically, reducing the need for direct support interactions.

    Customers can access updates instantly instead of waiting for responses. This lowers frustration and eases pressure on support teams. A detailed digital tracking history also minimizes delivery disputes.
    Documented timelines are easy to verify, preventing conflicts and improving overall operational efficiency.
  4. Encouraging Repeat Purchases Through Consistent Experiences
    Consistent and transparent delivery experiences strongly influence repeat purchases. When customers regularly receive accurate updates and reliable timelines, trust builds with every interaction.

    Delivery tracking reduces uncertainty and reinforces confidence throughout the journey. Customers naturally return to logistics providers that deliver predictable, stress-free experiences. This consistency improves satisfaction and loyalty.

    Over time, dependable delivery performance becomes a key factor in retention and long-term business growth. It also strengthens brand perception, supports positive word-of-mouth, and helps businesses differentiate themselves in competitive markets where service reliability directly impacts customer choice.
  5. Protecting Sensitive and High-value Shipments
    As many businesses depend on faster deliveries and cold-chain services, accurate delivery tracking plays a critical role in protecting service quality.

    Real-time visibility allows continuous monitoring of temperature-sensitive and high-value consignments from origin to destination. Businesses can track movement through key facilities and line-haul routes, supporting compliance and audit requirements.

    For time-critical shipments, this transparency strengthens customer confidence. Integrated tracking platforms also create a shared source of truth between businesses and logistics providers.

Strengthen Customer Confidence Through Reliable Delivery Updates

Accurate delivery tracking influences how customers feel long after checkout, shaping trust, satisfaction, and long-term loyalty. When customers receive timely and clear updates, they feel informed and confident about their purchase decisions. This confidence reduces post-purchase anxiety and strengthens their overall perception of the brand.

Informed customers are more likely to place repeat orders and share positive experiences with others, driving recommendations and sustained growth. Choosing the right logistics partner plays a critical role in delivering this experience.

Logistics service providers like DTDC support businesses with reliable tracking, consistent updates, and a wide delivery network. This visibility helps brands maintain credibility across regions. Clear and accurate delivery tracking transforms shipping into a dependable experience that reassures customers, reinforces brand reliability, and supports long-term customer relationships.

Peter Thiel's Valar Ventures-backed Velocity Commits ₹100 Cr to Scale AI-Led Shipping, Targets 5X Growth in 2026

Peter Thiel's Valar Ventures-backed Velocity Velocity Commits ₹100 Cr to Scale AI-Led Shipping, Targets 5X Growth in 2026

Velocity, India’s leading e-commerce enablement platform has announced a ₹100 crore investment to scale Velocity Shipping (formerly Shipfast), as it doubles down on advancing faster, more reliable and transparent AI-led logistics for digital-first brands. The investment will be deployed over the next 2 years and will be funded entirely through internal cash reserves and revenues from Velocity’s core businesses.

Since its launch in 2025, Velocity Shipping has seen strong adoption, with 900+ brands onboarded so far, with around 60% of these coming from Velocity’s existing ecosystem. The platform is currently witnessing 70% month-on-month growth in order volumes and now contributes nearly 40% of Velocity’s overall revenues. In December 2025 alone, Velocity Shipping processed over 10 lakh orders, placing Velocity among India’s top three shipping aggregators by order volume.

To support this momentum, the ₹100 crore investment will be directed toward strategic hiring, product development, and AI-led innovation across the logistics value-chain. Velocity plans to double its shipping team and has already made senior hires from NimbusPost, Pickrr, Delhivery and Shiprocket as it strengthens its shipping and last-mile capabilities. The company is also targeting a 5x increase in monthly shipping volumes in CY26.

“We started Velocity by solving one of the biggest bottlenecks for digital-first brands: access to capital. As we worked closely with thousands of founders, it became clear that logistics and fulfilment were equally critical constraints to growth, but existing solutions needed to evolve to better support digital-first brands. Velocity Shipping was built as a strong, operator-first alternative to existing shipping solutions, with reliability and accountability at its core,” said Abhiroop Medhekar, Co-Founder and CEO, Velocity.

“Its rapid adoption has reinforced our belief in shipping as a major growth engine for Velocity. This ₹100 crore commitment reflects our long-term conviction to double down on shipping as we build category-defining digital infrastructure for India's e-commerce ecosystem,” Medhekar added.

Logistics has become a Growth Bottleneck for D2C Brands

Rising consumer expectations around delivery speed have fundamentally reshaped how digital-first brands compete online. Faster Shipping directly impacts purchase completion, customer experience, delivery performance and repeat purchases. Yet brands were expected to deal with missed pickups, fake delivery attempts, slow escalations and delayed COD settlements -often shrugged off as ‘industry reality’.

This gap has tangible business consequences for D2C businesses, directly impacting growth and customer trust. According to the E-Commerce Trends Report 2025 by DHL eCommerce, 81% of shoppers abandon their carts if their preferred delivery option isn’t available.

Velocity Shipping was co-created with brands from Velocity’s own portfolio to address these challenges through a tech-first, transparent approach to logistics.

How Velocity Shipping fills the gap

Velocity Shipping enables same-day, next-day, express and standard deliveries helping brands meet rising consumer expectations without adding operational complexity. The platform works with multiple third-party logistics (3PL) partners, including Delhivery, Ekart, Amazon, Blue Dart, Blitz, Pikndel and XpressBees, allowing brands to access the best-performing courier networks across regions through a single interface and and serves over 19,000 pincodes pan-India.

A central differentiation in how the platform solves long-standing inefficiencies across the shipping lifecycle is its AI-powered intervention layer, which operates across the entire order journey. The system validates addresses, uses local-language voice agents (Vani AI developed by Velocity’s in-house tech team) to urge the conversion of COD orders to prepaid, and automatically verifies non-delivery reports. When a shipment is marked as an NDR or RTO, the system automatically triggers an AI call to the customer to verify the issue, helping identify false delivery attempts or premature returns.

AI-led calling helps solve failed deliveries and reduce RTO’s

Orders verified via WhatsApp and AI-led calls are delivered at 1.85x the rate of unverified orders, based on over 2.4 lakh AI-assisted verification calls completed on the platform. This proactive intervention with the platform has achieved 60-70% recovery of failed deliveries where the buyer is still interested and a 8-10 percentage point reduction in return-to-origin rates, directly impacting both customer experience and brand profitability for digital-first brands.

Velocity Shipping also tackles one of the biggest pain points in logistics for digital-first businesses: transparency and opacity in shipping aggregation models. In traditional models, weight discrepancies raised by courier partners often result in automatic deductions, with brands left to reconcile charges later. Velocity Shipping reverses this approach. Billing adjustments are made only after an AI-led verification of sorter images supplied by the courier partners, ensuring discrepancies are reviewed, validated, and resolved transparently.

Founded in 2020, Velocity has evolved into a full-stack growth enablement platform for digital-first brands across capital, logistics, insights and AI-led solutions. Its financing business is expected to turn profitable in CY26.

About Velocity

Velocity is India’s leading e-commerce enablement platform, empowering digital-first businesses with fast, flexible non-dilutive capital, logistics, and AI-powered tools to scale efficiently. Founded in 2020 by IIT Bombay alumni Abhiroop Medhekar, Atul Khichariya, and Saurav Swaroop, Velocity’s mission is to accelerate the growth of India’s e-commerce ecosystem.

Backed by Peter Thiel's Valar Ventures, Velocity has raised $30+ Million so far and has partnered with 4,000+ D2C and digital-first brands, disbursing over ₹1,100 crore in funding. Beyond capital, the company offers a comprehensive suite of products—Velocity Shipping for AI-driven shipping and logistics, Velocity Insights for actionable business intelligence and Vani AI, an AI-powered telecalling solution for personalized customer engagement. Some of the leading D2C brands Velocity has supported include Frido, Bellavita, Koskii, Bewakoof, Soulflower, Rynox Gears, NasherMiles, Hammer, Zlade, The Bear House, Off Duty, and Chumbak.

For more information, visit: https://www.velocity.in/

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