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E-commerce enablement platform Velocity has earmarked Rs 100 crore to expand its AI-driven shipping business, Velocity Shipping (formerly Shipfast).
The investment will be rolled out over the next two years and will be fully funded through retained earnings and earnings from the company’s core businesses.
Velocity Shipping recently rebranded to focus on building faster, more reliable and transparent logistics solutions for digital-first brands. The shipping industry has emerged as a major contributor to the company, accounting for nearly 40% of Velocity’s total revenue.
Founded in 2025, Velocity Shipping has onboarded more than 900 brands to date, approximately 60% of which come from Velocity’s existing ecosystem. The platform is currently experiencing nearly 70% month-over-month increase in order volume. Claiming to have processed over 1 million orders in December 2025 alone, Velocity ranks among the top three delivery aggregators in India by order volume.
The investment of Rs 100 crore will be directed towards strategic recruitment, product development and AI-driven innovation across the logistics value chain. Velocity plans to double the size of its delivery team and has already made senior hires from companies such as NimbusPost, Pickrr, Delhivery, and Shiprocket to strengthen its delivery and last-mile capabilities.
The company also aims to increase monthly shipments five times in calendar year 2026.
Abhiroop Medhekar, co-founder and CEO of Velocity, said: “Working closely with thousands of founders, it became clear that logistics and fulfillment were equally important constraints to growth, but we needed to evolve our existing solutions to better support digital-first businesses.”
Medekar said Velocity Shipping was designed as an operator-first alternative to existing transportation solutions. “Its rapid implementation reinforces our belief that shipping is a key growth engine for Velocity. This Rs 100-crore commitment reflects our long-term belief in doubling down on shipping as we build the digital infrastructure of India’s e-commerce ecosystem,” he added.
Velocity Shipping works with multiple third-party logistics partners such as Delhivery, Ekart, Amazon, Blue Dart, Blitz, Pikndel, and XpressBees, giving brands access to a cross-regional courier network through a single interface. The platform currently offers over 19,000 PIN codes across India.
Founded in 2020 by IIT Bombay alumni Abiroop Medekar, Atul Kicharya, and Saurav Swaroop, Velocity provides non-dilutive capital, logistics, business intelligence, and AI-driven tools to digital-first brands. Backed by Valar Ventures, the company has raised over USD 30 million and spent over Rs 110 billion across over 4,000 brands.
