PICKUP Closes $15M Series B to Accelerate Growth, Double Team Size

PICKUP, a last-mile delivery company that’s based in Dallas, has raised $15 million in a Series B funding round led by NewRoad Capital Partners.

The money will be used to assist PICKUP in expanding its geographic footprint and suite of services.

As an enterprise-grade delivery solution provider, the company aims to help retail and commercial businesses in transporting a broad assortment of small and large, heavier items (from household essentials and Postmates to furniture and mattresses). Some established retail partners are HomeGoods, At Home, American Standard, Big Lots, and World Market.

Currently, its reach includes more than 75 cities and 150 million people.

But next up for PICKUP is aggressive expansion. In response to increasing customer demands, the team recently expanded its fulfillment capabilities to meet the expectation for fast, convenient delivery.

That team includes PICKUP’s trusted ‘Good Guys’—thousands across its areas of operation—who act as independent contractors that use their own truck or van to transport the items from stores to customers’ homes and spaces.

“Businesses today require a friendly, easy and reliable last-mile delivery solution, and that’s exactly what PICKUP provides,” Brenda Stoner, PICKUP’s founder and ‘chief good guy,’ said in a statement. “PICKUP helps our customers provide advanced Buy Anywhere Delivery Anywhere (BADA) experiences.”

Stoner said the funding will allow PICKUP to enable more brands to offer exceptional delivery. The company told Dallas Innovates that means hiring 100 more roles, doubling the company’s size, with most positions based in the Dallas-Fort Worth area.

In addition to NewRoad Capital Partners, a growth equity capital firm based in Rogers, Arkansas, participation in the Series B included TDF Ventures, Noro-Moseley Partners, and Florida Funders. Additional investors were: Autotech Ventures and the New York Angels.

“NewRoad saw the combination of PICKUP’s nationwide network of Good Guys, providing two-man deliveries of big and heavy to enterprise customers, along with the PICKUP Enterprise platform, built to support eCommerce and omnichannel capabilities, as a unique offering in today’s environment,” Tracy Black, an operating partner at NewRoad Capital Partners, said in a statement. “PICKUP offers and executes on faster delivery SLAs with higher customer satisfaction (NPS) than what are currently offered in the market by traditional providers.”

PICKUP’s Enterprise platform is an integrated API solution that offers same-day and scheduled delivery of goods. Customers can purchase online or in-store and still have their item dropped off, making for an end-to-end, white-glove experience.

Since launching PICKUP Enterprise last year, customers have seen a two-times increase in basket sizes and a 23 percent conversion lift with Buy Online, Deliver From Store (BODFS), according to a press release. BODFS workstreams are meant to accelerate a retailer’s omnichannel capabilities for a true on-demand delivery—that’s even contactless on request.