A fast-moving conveyor belt moves a package through a scanner machine on its way to a delivery truck during Cyber Monday operations at Amazon’s fulfillment center in Robbinsville, New Jersey, USA, on November 29, 2021.
Mike Segar | Reuters
Amazon bought Veeqo, a company that makes tools to help online businesses sell products on and off Amazon.
Amazon quietly acquired the e-commerce software company last November, but did not announce the acquisition. Veeqo announced the deal in a company blog post, and Octopus Ventures, an investor in Veeqo, confirmed the deal on Monday.
Amazon is estimated to account for around 40% of e-commerce sales in the country, but there is still a significant portion of online purchases that take place elsewhere on the web. Amazon has long wanted to claim a share of sales on other platforms like eBay, Etsy, Shopify and Walmart.
For several years, Amazon has offered a program called Multi-Channel Fulfillment, which allows sellers to store and ship products using Amazon’s services, whether or not they sell on Amazon. Amazon has sought to lure sellers into the program by lowering rates, as third-party logistics providers and companies like Shopify, UPS and FedEx have all launched their own fulfillment services.
By acquiring Veeqo, Amazon could integrate more robust tools for sellers into its MCF program, potentially driving them away from other third-party logistics providers.
“We look forward to learning all the ways we can work with Amazon to build on our existing tools, develop new services, and ultimately serve you better,” Veeqo wrote.
An Amazon spokeswoman confirmed the acquisition. The spokeswoman declined to disclose the terms of the agreement.
“We are delighted that Veeqo has joined Amazon,” the spokesperson said. “We plan to continue investing in new features and enhancements to help Veeqo serve sellers around the world from its headquarters in Wales, facilitate the growth of sellers’ multi-channel businesses and improve their customer experience. “
Veeqo representatives did not immediately respond to a request for comment.
Founded in 2013, Veeqo is based in Swansea, Wales, and provides software that helps retailers manage their online business across e-commerce platforms including Amazon, eBay, Shopify and Walmart, ranging from shipping and from returns of orders to tracking products are in stock. The company employs about 60 people, according to LinkedIn.
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