Imperfect Foods Secures $95 Million Investment in Series D Funding Round
SAN FRANCISCO, CA - In the world of business, ingenuity will get you far, and doesn't Imperfect Foods know that to be true. The company that helped reimagine fresh produce and grocery delivery has announced that it has received a commitment to invest $95 million in its Series D funding round led by Insight Partners.
"This planned funding underscores the solid infrastructure, supply, and customer experience upon which we've built this company," said Imperfect Foods CEO Philip Behn. "2020 proved there is a real and growing demand for the marriage of sustainability and convenience in retail food. As the leading direct-to-consumer online grocer with a coast-to-coast footprint and our own last-mile delivery fleet, we plan to continue improving the customer experience by doubling down on technology and building the 'perfect imperfect assortment' for our customers."
Imperfect Foods came out of 2020 ahead, noting that it had triple-digit growth from the year prior, with a revenue run rate that exceeded $500 million, according to a press release. Currently, the company has a growing subscriber base of over 350,000 customers.
2020 served as the year that the company completed its pivotal transition from a regional produce-focused delivery service to the level of a national full-service grocer. Imperfect's transition included adding hundreds of new items to its catalog, and the new investment will allow the company to double its capacity and expand its product portfolio.
"Imperfect is delivering a 'mission with a margin,'" said Adam Berger, Insight Partners' Managing Director and Imperfect Foods' Lead Director. "Insight has backed the global leaders in delivered meal kits, ready-to-eat meals, restaurant delivery, and even pet meals, and Imperfect Foods is proving they are the leader in sustainable grocery delivery. Their unit economics are exceptional, driven by their unique 'farm to fork logistics' that curates customized produce and groceries, with scheduled weekly deliveries to the customer's doorstep. Imperfect Foods' supply chain is unmatched and quickly gets fresh groceries from producers to consumers with minimum intermediaries and waste, completing the last mile in their own vans."
In addition to expanding its capacity, the investment will also enable Imperfect to accelerate its private label program, improve customer shopping experiences, and lend additional support to farmers and partners who play an integral role in the success of the business.
As Imperfect Foods continues to expands its footprint in the grocery space, how will the company's innovative format affect the shifting retail market? AndNowUKnow will keep you up-to-date with the latest news.