What do you think of when you hear about new food delivery startups? Your mind probably wanders off to a world filled with deep dish pizzas and orange chicken. For this article, we request that you ignore your stomach’s innate instincts, and open yourself to the idea that this is a legitimate, and growing, industry.
We’ll walk you through 6 food delivery startups, from New York, to Estonia, to San Francisco and the Golden State Warriors. Food delivery is a budding new industry, and everyone loves food, Seamgen included!
Food Delivery Startups as an Industry
More than $1 billion was invested into food delivery startups in 2014, with another $500 million pouring into the first quarter of 2015. 2016 saw a slight break in the investment action, and we will see if the industry rebounds in 2017.
Above are just a few of the companies currently dominating the scene. Below demonstrates the spike in 2015, followed by the sharp decline in the first half of 2016. However, 2016’s lousy start hasn’t deterred many potential delivery startups. In fact, a couple of the food delivery startups on this list were hatched from 2016 onward.
Established in 2015, Maple is a Manhattan-based delivery startup looking to take 2017 by storm. The key lies in their kitchen–5 of them actually.
When you order food through Maple, you’re gaining access to a selection of New York’s top culinary talent. These are top culinary experts, and they mean business.
With Maple, you have access to a daily menu with rotating options. The company’s app even allows customers to track the entire process, from cooking, to delivery time, to location.
Furthermore, Caleb Merkl, co-founder and CEO at Maple, has the support of David Chang, founder of the Momofuku group and an icon in the New York food scene. Chang recently invested a whopping $25 million into Maple.
Maple’s pricing and services are reasonable for the industry. Each meal costs a flat $12 for lunch or $15 for dinner; tax, tip, and a guaranteed 30 minute delivery in the busy streets of Manhattan are all included..
If you want to learn more about Maple, click here.
Munchery is a Bay Area startup founded in 2010 by James Berikerin.
While some companies focus on selling and delivering fully-prepped meals, Munchery delivers food that is ready to be heated at your place. Because of this, Munchery starts at a lower price point than the competition.
Munchery’s monthly membership program starts at $8.95/month or $85 for the entire year. This program’s prices are up to 20% lower than their own, individual meals, which range in price from $8.95-$14.95.
For those looking to take on even more cooking responsibility, Munchery offers a meal kit option. Each meal kit comes complete with measured ingredients and step-by-step recipes.
To start the new year off, Munchery opened up several pop-up shops in the subways stations of San Francisco to increase brand awareness. If successful, the company plans to expand their pop-up shops to other cities throughout the United States.
For more information on Munchery, click here.
3/4) Postmates, DoorDash, & Starship
Does the name sound familiar? That’s because these are already two established companies. Postmates and Doordash have both gained loyal followings in the past few years, but what’s the connection?
Well, both recently agreed to collaborate with Starship Technologies, an Estonia-based startup created by Skype co-founders, Ahti Heinla and Janus Friis.
Starship Technologies will put its autonomous, ground-delivery robots to work in 2017. Postmates will deliver in Washington, D.C., and DoorDash will control Redwood City, California.
The robots will run will minimal supervision, mainly due to their lethargic operating speed of 4 mph. However, this low top speed helped Starship gain funding, as it’s a safer alternative to drone delivery companies that saturate the market.
The robots are expected to make about 10 deliveries a day, each owning a 2-mile radius in town.
Are you a fan of the Golden State Warriors and NBA All-Star Steph Curry?
Well you can soon eat like him, because his wife, Ayesha Curry, is opening a food delivery startup this year.
Gather will focus on delivering homemade ingredients with recipes to your door on a weekly basis. The menu will be entirely designed by Ayesha Curry, so it’s sure to be All-Star treatment.
The company is yet to reveal its cost structure or location, but it’s assumed San Francisco will be square one.
Although late to the industry, her husband’s star status and cult-like following should catapult her company into the forefront of the food delivery startups industry.
For Gather’s latest news and updates, click here.
Straying away from prepped meals, GrubMarket focuses on delivering organic groceries to your door.
GrubMarket hopes to take advantage of conscious eating and the food delivery market. As consumers grow more interested in knowing where their food is grown, GrubMarket hopes to gradually increase their market share.
The company helps out local farmers by giving consumers increased access to their goods. Additionally, GrubMarket streamlines costs for farmers by handling many of the logistics for them. Sound familiar? We recently covered Farmigo, the online farmers market, on our blog.
GrubMarket raised $20 million in 2016 and currently has 70 full-time employees. The company plans to go public sometime in 2018 or early 2019 to compete with industry heavyweights like Google Express and AmazonFresh.
Check out GrubMarket’s website here.
We hope you enjoyed our review of up-coming food delivery startups. For more, be sure to check out our other, recent articles.