Shipment Tracking Platform Malomo Raises $5 Million in Seed Funding to Extend Buyer Experience; Help SMBs Compete with Giant Retailers
Led by Base10 Partners, Round Brings Malomo’s Total Funding to $8.2 Million. Enhanced Integration with Klaviyo Offers Retailers Deeper Customer Relationships.
Indianapolis, IN -- April 7, 2021 -- Malomo, a shipment tracking platform that leverages the post-purchase experience so merchants can turn order tracking from a cost center into a profitable marketing channel, today announced it has raised a $5M seed round led by Base10 Partners, bringing its total funding to $8.2M.
Investor support for Malomo is not surprising with online purchases up 44% from 2019. Since the pandemic started, Malomo has seen consumer traffic increase 11-fold on its order status pages and has tracked more than $500M in gross merchandise value (GMV) on behalf of its clients.
Malomo will use the capital to build on the company’s momentum through strategic key hires, developing new product integrations and consumer tools, and broadening international carrier support. The funding will also allow Malomo to expand its customer base, which includes e-commerce and digital-native brands.
“The number one question for the billions of people that buy things online is ‘where is my order?’” said Yaw Aning, CEO of Malomo. “While Amazon spends billions of dollars on their post-purchase experience to ease customer anxiety around that question, independent retailers who sell their products directly through their own website to consumers don’t have the same resources to compete. We level the playing field by helping retailers own the customer experience from the buy button all the way to the doorstep and beyond. We help them activate post-purchase as a channel to drive growth, retention and trust with their fans.”
Malomo is unique in the space in that it turns shipping from a cost center into a revenue driver. Using Malomo, merchants are able to cut support tickets in half by helping retailers proactively manage the delivery experience. While customers check their order tracking for status updates, merchants can also share products, ads, and other content on those status emails or tracking pages to spur additional purchases. On average, Malomo customers see an impressive 2-3% repeat purchase rate from consumers who make another purchase while they wait for their current order to arrive.
Participants in the funding round include existing investors Base10 Partners, Harlem Capital, High Alpha, Hyde Park Venture Partners, and Paul Singh. Malomo also added new strategic investors including The Vaan Group, CX Collective, Curtis Cheng (a member of Silas Chou’s family office), Jeremy Cai (Founder/CEO of Italic) and Alexandre Perrier (Founder/CEO of Diamond Art Club).
Chris Zeoli, Principal at Base10 Partners, said, “When COVID forced small businesses to rely entirely on online sales, it became challenging for merchants to maintain meaningful customer relationships that build trust. Malomo’s transparent and proactive post purchase shipment tracking platform absolutely delights customers throughout the purchase and delivery experience and is a no brainer ROI for merchants looking to acquire and retain customers.”
Additionally, Malomo announced an integration with marketing automation platform Klaviyo, which is currently being used by hundreds of high growth digital brands like Caraway, Bokksu, Olipop, Death Wish Coffee, and others. Malomo’s integration with Klaviyo gives merchants even more control of their post purchase experience to build automations after the customer buys that helps support customers as they track their shipment.
Rich Gardner, VP of Global Strategic Partnerships at Klaviyo, said, “Through our integration with Malomo, brands have been able to create engaging post purchase experiences from purchase to package delivery. Our partnership has expanded to allow for post purchase SMS experiences and will continue to grow as we both continue to invest in giving brands meaningful customer data and new tools to build relationships with customers."
Malomo is looking ahead to enhancing its product portfolio with tools for merchants and consumers that reduce friction and resolve problems like lost, delayed, and stolen packages.
Malomo helps ecommerce merchants turn their shipment tracking into a marketing channel. Customers check tracking 4.6 times per order and the order status page is typically one of the most trafficked pages on the site, but merchants usually don’t have the ability to control that part of the customer experience. Malomo helps merchants drive revenue, reduce support tickets, and build relationships with their customers during this exciting time with the customer.
About Base10 Partners
Base10 is a San Francisco-based early-stage venture firm investing in Automation for the Real Economy. Founded by Adeyemi Ajao and TJ Nahigian, the firm invests in technology companies that are bringing automation to sectors of the Real Economy, including industrial logistics, consumer logistics, restaurants, financial services, and sales & customer service. Portfolio companies include ThePillClub, Virtual Kitchen Company, Acquire, PopMenu, and others. Connect via base10.vc.