The coronavirus pandemic has given millions of Americans a reason to love their freezer again. That’s good news for the 5-year-old startup, Daily Harvest, that’s looking to reinvent the frozen food aisle by chloesorvino
to look at their freezers with newfound appreciation. Government mandated coronavirus lockdowns have millions of households stocking up for extended home stays – and a large supply of non-perishable but nutritious food suddenly feels as essential as abundant heating oil in the dead of winter.
Her strategy is to make it super easy for a generation too busy, too tired or too quarantined to prepare their own meals. Even before the coronavirus hit, Millennials hated to cook. According to a 2017 USDA report, Americans aged 25 to 40 spend 55 minutes less per week, on average, cooking and washing-up than Gen X adults. Now with restaurants shut down – and even take-out becoming limited – those millennialsDaily Harvest CEO Rachel Drori on a visit to a fig supplier in central California.
Daily Harvest has so far raised $50 million in funding, making it a leader in the growing category of home-delivered prepared meals. Independent investors tell the company could be worth as much as $500 million, giving Drori a net worth of $125 million. She focused her marketing efforts on social media channels, eventually building a micro-influencer program a few hundredDaily Harvest says it’s been nearly profitable since day one and should be solidly in the black later this year. That’sone of the shortest payback periods ever seen by Carter Reum, cofounder of Los Angeles-based venture firm M13, who has invested in a slew of millennial-focused brands in addition to Daily Harvest, including Rothy’s, Bonobos and Birchbox.
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