Scurri reports 22% Q1 growth as retail shifts local

Scurri said eCommerce delivery volumes rose 22% year on year in the first quarter, with retailers processing 46.7 million shipments across its platform.

Gross merchandise value increased by €907 million to €5 billion, the delivery management software provider said, as order volumes strengthened through the quarter. Shipment growth accelerated from 16% in January to 26.5% in March, helped by trading around Valentine's Day and Mother's Day.

Beneath the headline increase, the figures showed a mixed pattern. Some traditional discretionary categories declined, while demand strengthened in areas tied to household spending, hobbies and everyday purchases.

Gifting shipments fell 22.7% from a year earlier, and fashion dropped 17%. By contrast, toys rose 52.2%, pet and animal products increased 36.6%, homewares grew 25%, and sports equipment was up 25.3%.

The divergence was even more pronounced elsewhere. Adult rose 88%, while garden and outdoor fell 59.7%, making it one of the weakest categories in the quarter.

Market shift

Geographically, retailers pulled back from some long-haul international markets and shifted towards domestic and nearby European demand. The United States remained the largest single destination market on Scurri's platform, but shipments there fell by 21.1%, while shipments to Canada declined by 33.6%.

European destinations moved in the opposite direction. Germany grew by 40.3%, Belgium rose by 27.9%, Denmark increased by 28.2%, the Netherlands was up by 15.7%, and Poland climbed by 16.1%. The UK also recorded growth of 7.3%, underlining the role of domestic fulfilment.

Scurri linked that rebalancing to cost pressures, delivery reliability and retailers' decisions to focus on markets closer to home. The figures suggest that merchants are weighing the economics of cross-border trade more carefully as consumers remain price-sensitive.

Delivery choices

Changes in delivery preferences were also evident during the quarter. Next-day delivery was the most popular option, accounting for 32.7% of preferred services, and demand for it rose 28.9% year on year.

Weekend delivery increased 17.1%, pointing to continued demand for convenience outside the working week. Standard delivery still accounted for 20% of services used, but the data suggested it is increasingly being paired with faster options. International delivery volumes, meanwhile, fell 13.9%.

Delivery methods also varied sharply by product type. Food and drink orders were dominated by next-day services, which made up 52% of deliveries in that category. Pet and animal products relied heavily on signature delivery, at 73.8%, while homewares saw growth in two-man and international delivery, reflecting the transport needs of larger items.

These patterns suggest retailers are tailoring fulfilment more closely to the goods being shipped, as merchants try to balance customer expectations for speed and convenience with the operational cost of serving different product categories.

Scurri, an Irish business operating across the UK and Ireland, said it now manages more than 200 million parcel deliveries a year for online merchants. Its customers include The Perfume Shop, Butternut Box, Gousto and Bulk Powders.

The business has raised €15.3 million to date, including a €9 million investment to support expansion in European markets. Its latest quarterly data suggests that expansion has coincided with stronger retailer activity across continental Europe, even as North American demand weakened.

Rory O'Connor, Chief Executive and Founder of Scurri, set out the company's view of the quarter.

"Q1 shows that growth in eCommerce is still strong, but it is becoming more nuanced," O'Connor said. "Seasonal events including Valentine's Day and Mother's Day continue to drive demand, but consumers are changing how and what they buy. At the same time, we're seeing a clear shift towards domestic and European markets, alongside rising expectations for faster, more flexible delivery."