Velocity, the fintech firm backed by tech billionaire Peter Thiel’s Valar Ventures, has launched Shipfast, a platform designed to help direct-to-consumer (D2C) businesses offer faster deliveries through their own websites. With 4-hour, same-day, and next-day shipping options, the company said that Shipfast enables quicker order fulfilment while reducing operational overheads.
While D2C brands have seen significant growth on quick-commerce platforms like Zepto, Blinkit, and Swiggy’s Instamart, many are choosing to own the customer journey end-to-end by facilitating faster deliveries through their own websites to avoid high commissions. One persistent challenge, however, has been the shipping experience. Delivery delays, long issue resolution times, and lack of accurate tracking often lead to customer dissatisfaction, impacting brand loyalty.
To address these pain points, Velocity said Shipfast has reimagined shipping workflows with its logistics partners to optimise for quicker deliveries. The firm has partnered with leading logistics players including Delhivery, Shadowfax, Ekart, and Ecom Express to facilitate 4-hour, same-day, and next-day shipping for D2C brands.
Shipfast also incorporates a mix of internal early warnings for delivery roadblocks, along with artificial intelligence (AI) agents to ensure seamless deliveries. This helps minimise the need for customers to escalate issues while also reducing the operational overheads for brands.
“Velocity’s mission has always been to power the growth of D2C brands in India. Shipfast is a natural step in our evolution. While access to capital drives 40-50 per cent growth for D2C brands, faster deliveries can unlock an additional 30-40 per cent growth by increasing customer conversions,” said Abhiroop Medhekar, co-founder and chief executive officer of Velocity. “Shipfast enables quicker commerce for D2C brands, strengthening direct customer relationships, boosting loyalty, and driving repeat purchase rates on their own websites. This product was built in-house, and we are actively looking to bolster it with potential acquisitions,” added Medhekar.
The recent rise of quick commerce represents a significant shift in the behaviour of the Indian customer. A study by McKinsey, for instance, revealed that almost half of the respondents abandoned online carts due to long or unclear shipping times. A survey of over 300 D2C brands conducted by Velocity revealed that 65 per cent of e-commerce brands saw faster shipping as a key trend to leverage in 2025.
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Since its inception in 2020, Velocity has served over 5,000 customers across its various products. It has financed over 1,200 e-commerce businesses, disbursing more than Rs 1,000 crore in working capital. Some notable brands funded by Velocity include Soulflower, Suta, Imagimake, Frido, Koskii, Hammer, Bewakoof, and Chumbak.
“It’s exciting to see our long-term financing partner, Velocity, expanding into the logistics space, which aligns perfectly with the growing demand for same-day and next-day deliveries—something our customers truly value,” said Amit Sarda, co-founder of Soulflower, a leading beauty and personal care D2C brand.
Founded in 2020 by Abhiroop Medhekar, Atul Khichariya, and Saurav Swaroop, the Bengaluru-based startup has raised $30 million in equity funding led by Peter Thiel’s Valar Ventures.