In a strategic move to strengthen its shipping capabilities, Eindhoven-based Sendcloud has acquired Lox, a Rotterdam company known for its expertise in managing delivery issues. This acquisition marks a significant development in Sendcloud’s mission to improve logistics efficiency in the e-commerce sector. As e-commerce continues to grow, the complexity of shipping processes and the costs associated with delivery problems have become pressing issues. Sendcloud’s integration of Lox’s solutions is poised to address these challenges, offering enhanced support to a wide range of businesses.
Sendcloud’s acquisition of Lox is a continuation of its strategy to expand its capabilities in the e-commerce logistics space. In previous years, Sendcloud has made significant strides in the shipping industry, including its planned acquisition of the Italian automation platform Isendu in June 2024, which serves over 1,000 online businesses. These actions reflect a broader trend in the industry, where companies increasingly focus on optimizing delivery processes to remain competitive.
What Drives the Acquisition?
Unresolved delivery issues are a major pain point for e-commerce businesses, leading to increased shipping costs and customer dissatisfaction. Each delivery claim in the EU takes about 25 minutes to resolve on average, highlighting the need for efficient management solutions. Lox addresses these problems by centralizing delivery issue management, significantly reducing processing times and costs. This capability aligns with Sendcloud’s goal of providing businesses with tools to optimize their delivery operations and improve customer satisfaction.
How Does Lox Enhance Sendcloud’s Platform?
By incorporating Lox’s capabilities, Sendcloud can offer a more comprehensive service that simplifies complex logistics tasks. Lox’s system automates the detection and resolution of delivery issues, cutting claim processing times by up to 80%. Trusted by brands like Vestiaire Collective and Fairphone, Lox improves Sendcloud’s platform, which supports over 25,000 businesses. This enhancement allows businesses to save time and reduce costs while scaling their operations effectively.
Rob van den Heuvel, CEO of Sendcloud, emphasized the complexity of e-commerce shipping, stating, “Shipping remains one of the most complex and costly aspects of e-commerce, especially for small and medium-sized businesses striving to compete with industry giants like Amazon (NASDAQ:AMZN).”
Dylan Hirsch, co-founder of Lox, expressed enthusiasm about the merger, noting, “Joining Sendcloud is a natural evolution of our shared mission to solve shipping globally.”
Sendcloud’s platform is designed to simplify shipping processes by centralizing tasks such as label printing and tracking. By doing so, it helps businesses provide flexible delivery options while remaining profitable. Backed by Softbank, Sendcloud has positioned itself as a key player in addressing shipping challenges worldwide.
The integration of Lox into Sendcloud is expected to significantly benefit e-commerce businesses by improving logistics efficiency and reducing costs. This acquisition not only strengthens Sendcloud’s service offerings but also provides businesses with a robust framework for addressing delivery challenges. As logistics remain a crucial aspect of e-commerce, advancements in this area are likely to have far-reaching impacts on the industry. It will be interesting to see how Sendcloud and Lox’s combined expertise will influence future developments in e-commerce logistics.
