Shippo

Shippo

Shipping solution for ecommerce businesses

About Shippo

Simplify's Rating
Why Shippo is rated
B
Rated A on Competitive Edge
Rated B on Growth Potential
Rated C on Differentiation

Industries

Automotive & Transportation

Consumer Software

Company Size

201-500

Company Stage

Late Stage VC

Total Funding

$154.3M

Headquarters

San Francisco, California

Founded

2013

Overview

Shippo simplifies the shipping process for ecommerce businesses, marketplaces, and platforms by providing a single API and dashboard that connects to multiple shipping carriers. Users can compare shipping rates, print labels, automate international documents, track shipments, and manage returns all in one place. This integration allows clients to streamline their shipping operations without needing to switch between different services. Unlike many competitors, Shippo focuses on offering a comprehensive solution that works seamlessly with existing ecommerce platforms, making it easier for businesses to manage their logistics. The company's goal is to enhance the shipping experience for its clients, ensuring that they can operate efficiently and effectively in the ecommerce space.

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Simplify's Take

What believers are saying

  • Partnership with Veho enables 2-5 day delivery for 300,000 e-commerce brands.
  • Launch of Shippo Total Protection offers comprehensive insurance for merchants globally.
  • Addresses API enhances deliverability by validating and storing customer shipping addresses.

What critics are saying

  • Direct shipments from China by competitors like Temu could increase market competition.
  • Supply chain regionalization trends may pressure Shippo to adapt its logistics strategies.
  • EU's €2 handling fee for low-value packages could impact Shippo's European operations.

What makes Shippo unique

  • Shippo offers a multi-carrier shipping API connecting with over 40 global carriers.
  • The platform provides comprehensive shipping solutions, including label creation and package tracking.
  • Shippo's integration with ecommerce platforms simplifies shipping operations for diverse businesses.

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Funding

Total Funding

$154.3M

Below

Industry Average

Funded Over

6 Rounds

Notable Investors:
Late VC funding comparison data is currently unavailable. We're working to provide this information soon!
Late VC Funding Comparison
Coming Soon

Benefits

Medical, dental, & vision

Take-as-much-as-you-need vacation policy

Flexible work hours

Two week-long company wide shutdowns during summer/winter

3 volunteer days off (VTOs)

WFH stipend

Charity donation match up to $100

Professional & career growth

Individual learning stipend

Personal and focused growth

Company off-sites throughout the year

Growth & Insights and Company News

Headcount

6 month growth

↓ -2%

1 year growth

↓ -3%

2 year growth

↓ -3%
Tech in Asia
Jun 15th, 2025
Temu Resumed Direct Shipments To Us After Trade Talks

👩‍🍳 How we use AI at Tech in Asia, thoughtfully and responsibly.🧔‍♂️ A friendly human may check it before it goes live. More news hereTemu, owned by PDD Holdings, has resumed direct shipments from China to the US. This follows recent advancements in trade negotiations between Washington and Beijing.Some items previously removed from Temu’s US marketplace last month have been reintroduced.A seller from Guangdong said products, including dresses, became available for sale in the US on June 11.However, many items remain offline under Temu’s “full custody” model, where the platform manages logistics, pricing, and tariffs.As of June 14, Temu’s US website featured items shipped directly from China, such as a nylon hiking backpack.This product had been unavailable for reviews between May 7 and June 2 but has now been reinstated.🔗 Source: South China Morning Post🧠 Food for thought1️⃣ The de minimis roller coaster reshapes cross-border e-commerce economicsTemu’s direct shipping resumption highlights how significantly the de minimis rule influences international e-commerce business models.When the US suspended the $800 duty-free threshold for Chinese imports in May, it fundamentally altered the economics of cross-border e-commerce, forcing platforms like Temu to shift to local fulfillment models to remain competitive 1.This policy reversal comes after Chinese e-commerce retailers faced cost increases of 10-25% across various product categories, significantly impacting their ability to maintain the ultra-low pricing strategy that fueled their rapid US market growth 2.The temporary reinstatement of the de minimis exemption represents a critical lifeline for these platforms, as it allows them to once again ship low-value goods directly from China without incurring duties that would make their business model unsustainable 3.This pattern of regulatory change followed by business model adaptation demonstrates how e-commerce platforms must maintain operational flexibility to navigate unpredictable trade policies, a capability that larger, well-capitalized companies like PDD Holdings (with $364.5 billion in cash reserves) are better positioned to manage 4.2️⃣ PDD’s “full custody” model creates unique tariff vulnerabilityTemu’s struggle with US tariffs reveals a specific vulnerability in its parent company’s business approach that differs from competitors in cross-border e-commerce.Under PDD’s “full custody” model, the platform assumes responsibility for listings, pricing, logistics, and crucially, tariffs—creating direct financial exposure to trade policy changes that other marketplace models can pass on to sellers 3.When the de minimis rule was suspended, Temu faced a stark choice: absorb significant cost increases that would undermine its ultra-low price positioning, or dramatically alter its operational model by shifting the tariff burden to merchants—ultimately choosing the latter to preserve margins 2.This strategy shift contributed to PDD’s 47% earnings decline in Q1 2025, demonstrating how deeply trade policies can impact business performance when a company takes on supply chain responsibilities traditionally managed by individual merchants 1.The recent trade developments have allowed Temu to partially revert to its original model, but the episode highlights how PDD’s approach—which helped it achieve its impressive 24.63% profit margin—also creates unique exposures to regulatory shifts compared to traditional marketplace platforms 4.3️⃣ Trade policy whiplash accelerates supply chain regionalizationThe Temu case illustrates a broader trend where unpredictable trade policies are forcing e-commerce businesses to develop regional supply networks rather than relying on direct China-to-consumer models.Despite the current trade tensions easing, experts warn this represents a “calm before an inevitable e-commerce storm,” with import volumes at major US ports already dropping significantly—signaling deeper supply chain restructuring 5.The on-again, off-again nature of tariffs and de minimis rules has driven companies to explore nearshoring and supply chain diversification as strategic imperatives rather than temporary responses, with many businesses stocking up on inventory in anticipation of future policy changes 6.For large platforms like Temu, this has meant developing multi-regional fulfillment capabilities—evidenced by their rapid pivot to “local warehouse” models when direct shipping became economically unfeasible 7.The EU’s consideration of similar measures, including a €2 handling fee for low-value packages, signals that this is a global trend that will require e-commerce businesses to maintain parallel supply chain strategies across different regions rather than relying on a single cross-border model 8.Recent Temu developments

Linnworks
Jun 12th, 2025
Linnworks Announces Partnership with Shippo to Streamline and Scale Global Ecommerce Shipping

Linnworks announces partnership with Shippo to streamline and scale global ecommerce shipping.

Retail Boss
Apr 19th, 2025
Veho and Shippo Now Offer 2-5 Day Delivery to 300K Brands

By integrating Veho's logistics into Shippo's platform, brands gain access to:

PR Newswire
Apr 1st, 2025
Veho And Shippo Now Offer 2-5 Day Delivery To 300,000 E-Commerce Brands

Over 3.4 Million Shippo E-Commerce Orders Per Year Expected to Be Delivered Through VehoNEW YORK, April 1, 2025 /PRNewswire/ -- Veho, the logistics and technology company that operates one of the largest parcel delivery platforms in the U.S., and Shippo, the leading shipping platform for modern e-commerce, today announced the launch of competitively-priced 2-5 day, premium delivery for over 300,000 e-commerce brands

Practical Ecommerce
Feb 13th, 2024
New Ecommerce Tools: February 13, 2024

Ecommerce shipping platform Shippo has launched Addresses API, enabling merchants to validate, parse, and store customers' shipping addresses.

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