Relay’s $10M Seed Round Fuels Expansion of Uber-Style Parcel Delivery in the UK
Traditional parcel delivery services often rely on fixed routes from suburban depots—a costly and inefficient approach for lightweight e-commerce packages. Inspired by Asia’s asset-light delivery model, UK-based startup Relay has raised $10 million in seed funding to scale its innovative, on-demand logistics platform across the UK. The round was led by Project A Ventures (Berlin) and Prologis Ventures (U.S.).
Bridging the Gap Between E-Commerce and Modern Logistics
Relay’s platform streamlines parcel delivery by combining the first, middle, and last miles into a seamless process. Unlike legacy providers, Relay operates through urban “pitstops” and a network of couriers, eliminating the need for expensive suburban depots. This model reduces overhead while improving speed and flexibility.
Key features of Relay’s service include:
- Dynamic Routing: AI-powered matching of couriers to optimized delivery routes, similar to Uber’s efficiency-driven approach.
- Next-Day Delivery: Faster turnaround times for e-commerce retailers and end customers.
- Courier Benefits: Unlike gig-economy compe*****s, Relay offers couriers sick pay, holiday pay, and other employment benefits.
Competing in a Crowded Market
Relay currently serves major UK retailers like JD Sports and THG (owner of MyProtein and Glossybox). After launching in London, the company plans a nationwide rollout in 2024. It will compete with established players such as Evri, Royal Mail, Yodel, and DPD.
A New Era for E-Commerce Logistics
“In Asia, delivery companies were built for e-commerce from the ground up. In Europe and the U.S., legacy systems were designed for a pre-internet era,” said Jonathan Jenssen, Relay’s CEO and co-founder. “Relay is modernizing the industry by aligning logistics with the demands of today’s digital economy.”
With this funding, Relay aims to disrupt the UK’s $23 billion parcel delivery market—offering retailers a faster, cheaper, and more sustainable alternative to traditional methods.
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