Gofo Acquires Cirro E-commerce in Strategic Logistics Move
Parcel delivery innovator Gofo has finalized the acquisition of Cirro E-commerce, an esteemed provider of comprehensive international small-parcel logistics across the United States, Europe, and Oceania.
This strategic development marks yet another phase in the burgeoning competition among budget carriers striving for scalability in the last-mile delivery sector.
Additionally, Gofo has bolstered its leadership team with two key appointments, including Ron Jansen, former U.S. CEO of YunExpress, who will assume the role of Chief Commercial Officer.
YunExpress, a subsidiary of Zongteng Group, is a prominent China-based entity specializing in cross-border logistics for e-commerce merchants.
By leveraging Cirro E-commerce’s deep knowledge of the U.S. market, established customer relationships, and existing retail integrations, Gofo aims to enhance its national delivery capabilities.
This integration will empower Gofo to deliver improved and more reliable services for e-commerce retailers operating in the U.S., as emphasized by Gofo executives. Cirro is recognized for its expertise in both domestic and international parcel logistics.
“CIRRO E-commerce contributes significant local market knowledge, exceptional commercial and customer experience teams, along with established e-commerce integrations. Gofo provides the essential network scalability, automation, and operational rigor.
This merger will yield a more robust and seamless experience for shippers in the U.S.,” stated Leon Li, CEO of Gofo U.S.
Gofo has confirmed that it will retain Cirro E-commerce’s executive team, appointing Vincent D’Amata, who previously led sales for Cirro, as the Chief Sales Officer for the U.S. Specific terms of the acquisition remain undisclosed.
In October, Cirro integrated Gofo into its list of last-mile carriers available for retailers utilizing its shipping platform.
This acquisition announcement was made during Manifest, a significant supply chain conference hosted in Las Vegas, where Gofo actively promoted its services to shippers.
Founded in 2023 by Chuan Zheng, a U.S. citizen with Chinese ancestry and a substantial background in logistics and cross-border e-commerce, Gofo previously established a company called Ebisu.
While a considerable volume of its historical transactions stemmed from e-commerce merchants associated with China, Gofo is swiftly enhancing its footprint among North American retailers and smaller online sellers.
Although international parcels are customs cleared by partner organizations, the majority of shipments originate from domestic U.S. warehouses. The organization’s operations, leadership, and decision-making processes are firmly anchored within the United States, as asserted by a spokesperson.
Gofo has aggressively expanded its logistics framework across the U.S., currently operating nearly 100 hubs and stations, bolstered by over 30 linehaul routes. The company employs more than 1,000 full-time staff and collaborates with delivery service partners to facilitate the last-mile delivery process.
Recently, Gofo reported processing over 60 million parcels during the busy holiday season, from Thanksgiving to Christmas, achieving a sortation capacity of 3 million parcels per day during peak periods. Its network demonstrated remarkable resilience, maintaining a 99% delivery success rate despite the influx of volume.
In anticipation of the peak shipping season, Gofo inaugurated super hubs in Newark, New Jersey, and Los Angeles in October. Accompanied by a substantial $150 million investment, Gofo operates over 100 automated hubs and stations, coupled with a comprehensive U.S. line-haul network comprising over 30 routes.
The company’s delivery service facilitates next-day deliveries around major hubs and three-to-five-day deliveries across states, covering 49 of the top 50 markets.
Moreover, Gofo has bolstered its app-based independent driver workforce by 30% year-over-year to ensure operational fluidity.
The company manages a fleet of 1,500 self-owned and partner-operated vehicles, including 26-foot and 53-foot trucks, serving as the backbone of its nationwide logistics network.
According to Gofo, its trucks have achieved a 99.5% on-time pick-up rate, fulfilling service level agreements between 95% and 99% of the time, with long-haul trucks capable of carrying up to 16,000 parcels.
In a shifting landscape, retailers are increasingly opting for alternative parcel carriers over traditional giants such as FedEx, UPS, and the U.S. Postal Service, favoring smaller, independent providers that offer substantially lower rates.
Many of these emerging carriers are heavily investing in the development of regional and national networks, raising pertinent questions about the sustainability of their growth trajectories.
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