Shyp retreats to San Francisco

In the face of trading difficulties, online delivery specialist Shyp has announced it has suspended operations in LA, Chicago and New York. According to the company this is so it can “focus on achieving profitability in a single market, the San Francisco Bay Area”.

Shyp’s CEO VEO Kevin Gibbon said in a blog yesterday that the firm is also going to be “reducing headcount at headquarters”.

The blog hinted at some of the problems that Shyp has faced. The blog continued, “Knowing what we know now, there’s no question we’d do some things differently. We would have built profitability in from the beginning. And shifted to serve business customers sooner. In a business that requires significant investment to grow physical operations across multiple cities, we would have focused on achieving success in one market before expanding into others.”

Down but not out, Gibbon said of Shyp, “I’ve never felt more strongly that Shyp needs to exist in this world. I’ve seen the impact Shyp has had on our business customers—drastically reducing time spent on packaging and shipping, saving money, and helping them serve new global markets.” 

Gibbon added: “We believe these steps will allow us to prove our business model and set Shyp up for long-term success.”

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