Same-day delivery firm Point Pickup Technologies has acquired GrocerKey, a white label e-commerce technology platform. Point Pickup expects the acquisition to provide it an end-to-end e-commerce platform, from pick-and-pack to last-mile delivery.
Terms were not disclosed.
“With almost 68 million U.S. households placing online orders this past May, retailers no longer want to give away the last mile to other consumer-facing platforms,” explained Tom Fiorita, founder and CEO of Point Pickup Technologies. “We listened to our clients and now with the integration of GrocerKey’s technology with our last-mile delivery platform, they can reclaim and grow that revenue and keep control of their e-commerce data and customer experience from start to finish.”
Founded in 2014 by Jeremy Neren and Daniel Glucksman, GrocerKey helps brick-and-mortar businesses scale e-commerce operations. Its first client, independent Wisconsin grocer Woodman’s, deployed GrocerKey’s technology to grow a $100 million e-commerce business.
GrocerKey’s advisory board features former executives from Walmart, Target, IBM and Unilever. It was No. 311 on the 2020 Inc. 5000 list of the fastest-growing private companies, with revenue growth of 1,455% over the previous three years.
Point Pickup, which counts Walmart, Kroger, Albertsons and Giant Eagle among its customers, offers same-day delivery for e-commerce orders. The company has expanded its scope to include nongrocery orders including pharmacy and oversized delivery.
The integration of GrocerKey’s technology will enhance the functionality and efficiency of Point Pickup’s plug-and-play modules that connect with existing e-commerce platforms, the company said in a release. The modules benefit from proprietary “precision matching technology” that connects the right driver and vehicle to meet the delivery’s needs.
The acquisition will enable more customization of e-commerce offerings, Point Pickup said, including online ordering, delivery size options, and monetization through new merchandising and promotion opportunities. Customers will also have access to more data points.
“Early on, we were impressed not just by the scale and sophistication of Point Pickup’s technology and services, but also their focus on bringing the customer back to enterprise retailers,” said Neren, CEO of GrocerKey, who will serve as senior vice president of e-commerce strategy at Point Pickup. “Being able to provide brands with complete control over their e-commerce services from point of sale to customers’ homes is a game-changer. I’m excited to join the Point Pickup team along with our GrocerKey family and am eager to move forward with the integration of our technologies and companies.”
Point Pickup is operating in all 50 states and said its flexible workforce is within 5 miles of 95% of the U.S. population.