Seattle-based startup Pandion, founded in 2020 by former Amazon and Walmart executive Scott Ruffin, recently raised a $41.5 million Series B round to help online retailers deliver orders to customers using a residential parcel delivery system covering 80% of U.S. homes. The company operates five sortation centers and utilizes a network of 500,000 “last mile” delivery drivers to transport packages from fulfillment centers to their final destination. Ruffin, the founder of Amazon Air, has extensive experience in the logistics and transportation industry, making him well-equipped to lead Pandion in its mission to provide an alternative delivery solution for retailers facing challenges with national parcel carriers.
Competing against industry giants such as UPS, FedEx, and Amazon, Pandion aims to offer retailers a cost-effective and reliable delivery service that goes beyond traditional carriers. With the additional funding, the company plans to open more sortation centers and expand its geographic reach to meet the growing demand for e-commerce delivery services. Revolution Growth, a D.C. firm that has supported several Seattle startups, including Glowforge and Carbon Robotics, led the Series B round, with other investors joining the funding round to support Pandion’s continued growth.
As e-commerce continues to grow, Pandion and other startups in the industry have benefited from the surge in online shopping during the pandemic. Despite a slight slowdown in the market, Pandion remains on a strong trajectory, with its sales projected to reach $220 million this year. With U.S. e-commerce sales reaching $1.1 trillion in 2023, representing 22% of total retail sales, there is still significant growth potential for companies like Pandion to capitalize on the evolving landscape of online retail.
Along with the funding announcement, Pandion revealed a series of executive hires to strengthen its leadership team, including Brent Cervenka as chief operating officer, Jeff Petersen as head of network design and strategy, Jay Sackos as vice president of sales, and Austin Luhman as head of product. These experienced hires bring valuable industry knowledge and expertise to Pandion as it continues to scale its operations and expand its service offerings to meet the evolving needs of online retailers.
Revolution Growth partner Kristin Gunther, who is now joining the Pandion board, highlighted the company’s ability to provide retailers with an Amazon-like model for improving logistics agility. With the support of investors and industry veterans guiding its growth strategy, Pandion is well-positioned to become a key player in the e-commerce delivery space and offer retailers a competitive advantage in the increasingly competitive online marketplace.
Overall, Pandion’s recent funding round and executive hires demonstrate the company’s commitment to innovation, growth, and excellence in the e-commerce delivery industry. As the company expands its reach and capabilities, it will continue to provide retailers with a reliable and efficient alternative for delivering orders to customers, ultimately driving operational efficiency and customer satisfaction in the fast-paced world of online retail.
