Funding story
2016 promises to be a year of tighter purses for entrepreneurs and their investors. This will be especially true for food tech startups, since 2015 was a rather up-and-down year for startups in that segment. Nevertheless, a number of food tech startups have continued to make impressive gains in 2016. One of these is FreshMenu, an online-first restaurant which recently managed to raise Rs.110 crore in funding. The round was led by Zodius Capital. Existing investor Lightspeed Venture Partners also participated in this round.
About FreshMenu
The deal is estimated to be worth Rs. 300 crore($45 million). The deal is expected to boost the range of cuisines which FreshMenu sports. The Bengaluru-based startup already has some 17 kitchens in the city where it was founded-moreover, there will be a lot more focus on Delhi and Mumbai from now on. This move is likely to be of big help to the startup. This is because of the burgeoning market in these two megalopolis.
The website’s format is excellent, with salads, desserts and mains being displayed differently. Veg and non veg meals are displayed separately-thus catering to a wide variety of tastes. Excellent pics of yummy dishes are also displayed alongside. The startup’s emphasis on packaging quality, besides the overall excellence of its products, has won it massive accolades. Fresh meals can easily be added to the bad by selecting the “I like it” option. Payment can be done online or with cash on delivery. Meals are typically delivered within 30-45 mins of order, and lunch delivery timings are from 12pm to 3pm, and dinner delivery timings last from 7pm to 10.30pm.
Conclusion
According to Tracxn, less than 20% of food tech startups have managed to ensure viability of their ventures. FreshMenu’s competitors in this segment include the likes of Faasos, Holachef,Box8 and Yumist. The Bengaluru-based startup may have the edge over its rivals, however, because of its excellent team of chefs.
