Budbee

Budbee, delivery logistics for e-commerce

Budbee is a technology company based in Stockholm (Sweden), founded in 2016 by Fredrik Hamilton, then a recent graduate of the Stockholm School of Economics. Its business focuses on making online shopping easier through parcel deliveries and returns, using a self-learning system and bespoke algorithms. The company has been part of the Instabee group since 31 October 2022, when it merged with Instabox under a new parent company.

Home deliveries and Budbee Box parcel lockers

The main service consists of delivering or collecting parcels at the customer's door in the afternoon and evening. As a complement, the company offers Budbee Box, a network of parcel lockers where users can collect and return their parcels whenever it suits them. Returns are managed through the app: the customer books a time slot and can choose home pickup or return via a locker, with no labels or printer needed.

Coverage and active markets

Budbee operates in five markets: Sweden, Finland, Denmark, Belgium and the Netherlands. According to company data, its network reaches more than 40 million people and has served more than 7 million unique consumers with same-day or next-day deliveries. The company employs more than 450 people and has more than 50 open positions across all its markets.

Customers and investor backing

Among the e-commerce companies using its services are ASOS, Zalando, Inditex and H&M. The company has received funding from Kinnevik, Stena Sessan and AMF, among others. In 2018 Kinnevik invested SEK 80 million and became its first major external investor; in 2019 H&M joined as an investor in a SEK 50 million round led by Kinnevik; in 2020 the company raised SEK 278 million from Stena Sessan and existing investors; and in 2021 it completed a SEK 525 million round led by AMF.

Fleet and sustainability

Deliveries are made using bikes, electric vehicles and biofuels. The company uses HVO100 renewable diesel, a hydrogenated vegetable oil made from raw materials such as animal fat waste from the food industry, recycled cooking oil or fish fat, compatible with most diesel engines and with existing fuel distribution infrastructure. In 2020 it opened its first purpose-built terminal, covered with solar panels and equipped with sorting technology.

Growth milestones

After a year of technology development, the company made its first delivery in October 2016, initially focused on pre-packed shopping bags. In 2017 it opened its first terminal in Spånga, on the outskirts of Stockholm, and decided to abandon its initial shopping bag business to focus exclusively on e-commerce parcels, when grocery deliveries accounted for more than 50% of revenue. That same year it expanded its delivery areas to Malmö and Gothenburg and signed an agreement with H&M. In 2018 it moved to a larger terminal in Länna and opened an office and terminal in Helsinki, its first international expansion. In 2019 it entered Denmark and the Netherlands, its largest market up to that point. In 2020 it launched its app, introduced Budbee Box parcel lockers and added more than 300 cities to its network in Sweden, Denmark and Finland. In 2021 it began operating in Belgium, its fifth market.

App and customer service

Budbee's free app allows users to manage orders, book time slots and access the customer service chat. The company maintains an average rating of 4.9 out of 5.0 according to the data it publishes on its own website.