Delhivery: Building India’s Logistics Unicorn

In just over a decade, Delhivery has redefined India’s logistics landscape. Founded in 2011, the company began as a small courier service for Gurugram’s restaurants. Today, it is India’s largest logistics and supply chain company handling over 2 million parcels daily and powering the e-commerce boom. By using technology, automation, and scale, Delhivery has transformed a fragmented sector into a streamlined, tech-first ecosystem.

Founding Vision

Delhivery was started by Sahil Barua, Mohit Tandon, Bhavesh Manglani, Suraj Saharan, and Kapil Bharati. Seeing inefficiencies within India's delivery ecosystem, the group dreamed of an open, reliable, and data-driven network for logistics. Their goal was simple: make logistics available to businesses of all sizes, from small local sellers to global leaders.

Business & Revenue Model

Delhivery has a B2B-oriented model, catering to e-commerce companies, SMEs, and large corporations. Its offerings range from

• Express Parcel Delivery – Quick and secure delivery.

• Freight (FTL/LTL) – Shipping heavy products.

• Warehousing & Supply Chain Solutions – Technology-driven storage and inventory.

• Cross-Border Logistics – Import-export enablement.

Revenue is generated from delivery fees, logistics contracts, and value-added services like returns management and warehousing.

Growth & Scale

Supported by SoftBank, Tiger Global, and Carlyle, Delhivery raised $1.4 billion prior to its $4.9 billion IPO in 2022. Its extensive network covers 18,000+ pin codes, 24,000 trucks, 3,000+ centers, and 120+ gateways, catering to more than 27,000 customers, including Flipkart, Amazon, Nykaa, and Decathlon. In FY23, Delhivery accounted for ₹7,225 crore revenue, although growth expenses led it to a ₹1,008 crore net loss.

Competitive Edge & Challenges

Delhivery's technology-led approach puts it ahead of conventional players such as Gati, DTDC, and even global multinationals such as DHL. Route optimization through AI, robotics in the warehouse, and real-time tracking make its operations highly optimized.

However, there are challenges:

• Pressure on profitability due to capital-intensive infrastructure.

• Over-reliance on e-commerce-driven demand.

• Increased competition from Indian startups and foreign players.

Lessons for Entrepreneurs

Delhivery's tale has important lessons:

• Technology upsets even conventional industries.

• Unravel fragmentation and build scalable value.

• Partnerships drive expansion, particularly in growth markets.

• Asset-light strategies allow for quicker growth.

Conclusion

Delhivery is not merely a logistics firm; it is the support structure of India's digital economy. With its singular determination of technology, scale, and innovation, it has demonstrated how vision and execution could convert inefficiencies into opportunities worth billions.