Returnmates

Returnmates, now rebranded as Sway, is a Los Angeles-based technology company focusing on customer-centric delivery and return solutions for e-commerce businesses. Founded in June 2020 by Eric Wimer and Kristian Zak, Sway aims to revolutionize logistics by offering seamless, efficient, and environmentally friendly services.

The company enhances the online shopping experience for retailers and consumers by integrating innovative technology.

Funding and Rebranding

In January 2024, Returnmates rebranded to Sway to reflect its expanded service offerings beyond returns, now including last-mile delivery capabilities. The company secured $19.5 million in Series A funding, led by 7GC, with participation from Blackhorn Ventures, Lightshed Ventures, and Rise of the Rest Revolution.

This funding has supported Sway's growth and technological advancements.

Innovative Technology

Sway utilizes a two-way communication platform and a network of driver-partners to monitor purchases from delivery through returns. Customers benefit from an easy-to-use two-way SMS platform and tracking page that provides a precise 30-minute delivery or pickup window.

The platform allows adding access instructions and extra packages for pickup, reducing the typical return cycle from an average one week to less than three days. Sway offers next-day and two-day delivery services alongside doorstep return and exchange options.

Impact on Retailers

Retailers partnering with Sway have experienced considerable improvements:

• 66% decrease in lost package rates
• 20% increase in repeat purchases compared to traditional carriers
• Verification of items at Sway's warehouse before returning to retailers to prevent fraud and enable instant refunds
• Consolidation of multiple returns into one package, reducing per-unit shipping costs and eliminating the need for individual repackaging

Company Growth and Locations

Since its inception, Sway has expanded operations to 20 cities, including:

• Los Angeles, CA
• Austin, TX
• Dallas, TX
• Houston, TX
• Miami, FL
• San Diego, CA
• San Francisco, CA
• Seattle, WA
• Washington, D.C.
• Inglewood, CA
• South San Francisco, CA

The company has grown its team from five to 100 members, achieved a 14-fold revenue increase, and expanded its customer base sevenfold.

The recent funding will help Sway continue developing technology, grow its team further, and extend its coverage to 25 cities.

Mission

Sway's mission is to provide a personalized shipping and returns experience that transforms the online shopping journey from purchase through product receipt and returns.

Leveraging its two-way communication platform and flexible driver-partner network, the company aims to redefine the retailer-customer relationship and establish new standards in e-commerce logistics.