UPS has placed $2 million of faith in same-day delivery service Shutl. The company will use the investment to “expand its engineering team, sign up new retail partners and prepare to launch in the U.S. early next year,” reports AllThingsD.
Shutl offers 90-minute delivery windows as part of its retail partnerships. Customers can also pick a customized one-hour delivery window. All deliveries are same-day as purchase.
“We’ve spent this last year taking Shutl national across the UK; now we are ready for the U.S., a market that we estimate will be worth around $26 billion by 2016,” claims Shutl founder and CEO Tom Allason.
As more consumers shop online, the demand for premium, fast shipping services has increased. Amazon’s Prime Two-Day Shipping allows customers to pay an annual $79 fee for unlimited two-day shipping. Amazon reports it now ships more items with this service than with its Free Super Saver service.
While eBay has also experimented with same-day shipping, Amazon maintains it has not found an economically efficient way to employ the service.
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