- General
- January 22, 2019
- 5 minutes read
Munchery Crunches, After Raising $125 Million And A $300 Million Valuation
image : Munchery San Francisco based food delivery service Munchery – one that raised $125.4 million in funding according to…
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| image : Munchery |
San Francisco based food delivery service Munchery – one that raised $125.4 million in funding according to Crunchbase with a $300 million valuation from a previous round according to the Wall Street Journal – has announced its shutting down after nearly a decade of operation. The company made this known this in an e-mail sent to customers on Tuesday, stating that outstanding orders will be cancelled and refunded.
“Since 2010, we have been committed to bringing fresh, local, and delicious meals into your homes along with all our customers across the country, We’ve been delighted to work with world-renowned chefs, experiment with diverse and unique ingredients and recipes, and be a part of your holiday feasts and traditions. We have also enjoyed giving back to our community through meal donations, volunteer service, and so much more…We are so grateful to have had the opportunity to share our dream with you – it has been truly wonderful. Happy Eating!” Munchery’s e-mail stated.
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| image : Munchery |
A specific reason why the company is shuttering operations is not provided although it doesn’t come as a surprise following struggles in the crowded delivery market. The company laid off 30 employees last year January, a move termed as necessary to streamline its operations. Reports were also made of its struggles with food waste and finding a profitable business model.
Munchery provided ready-to-eat meals and 15-minute cooking kits crafted by local chefs for its customers. The company was founded in 2011 by Tri Tran and Conrad Chu, Both who no longer work at the company, having left January 2017. The food delivery market is a crowded one with several competing services like Grubhub, UberEats, Postmates, DoorDash, Yelp Eat 24 and Foodler.
Winners appear to be going strong with DoorDash having recently become available in all 50 U.S. states and Postmates raising a $100 million round at an $1.85 billion post-money valuation.
