GrocerKey, a startup that helps grocery stores develop online operations, said Thursday it has been acquired by Point Pickup Technologies, a last-mile fulfillment and delivery company, for $42 million.
GrocerKey, which is based in Madison, Wisconsin, but has its top leadership in Minneapolis, is an e-commerce platform used by grocery stores to fulfill online orders.
Stamford, Connecticut-based Point Pickup said the deal will allow it to offer the industry's first end-to-end, own-branded last-mile fulfillment and delivery service.
The deal gives Point Pickup clients, such as Walmart and Kroger, the ability to deliver their orders themselves, without relying on third party services.
“With almost 68 million U.S. households placing online orders this past May, retailers no longer want to give away last-mile business to other consumer-facing platforms," said Tom Fiorita, founder and CEO of Point Pickup. "We listened to our clients and now with the integration of GrocerKey’s technology into our last-mile delivery platform, they can reclaim their brand and revenue while maintaining control of their eCommerce data and customer experience from start to finish.”
GrocerKey co-founder and CEO Jeremy Neren will serve as senior vice president of e-commerce strategy at Point Pickup.
“Being able to provide brands with complete control over their eCommerce services from point of sale to delivering to customers’ homes is a game- changer," Neren said. "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.”
