If you think you’re having a bad day, SF-based Munchery is currently losing millions of dollars a month. And with the search of a new CEO, we’re more than certain R.I.P might start to be engraved.
This San Francisco-based meal delivery service is in a little hot water facing their loss of funds, the inability to raise new ones, and oh… no CEO. According to Bloomberg, this marks the latest and perhaps most significant challenge for a company marred by neighbor complaints, allegations of lax food safety, and code violations. In other words, yikes.
Fighting tooth and nail with their direct opponent Blue Apron and competing with the popularity of Ayesha Curry’s service, Gather, it hasn’t been looking good for the team over at Munchery. Valued at $275 million of last year, Munchery board director told Bloomberg that the business is losing $3 million a month — which is quite a lot of money.
In search for a replacement for current CEO Tri Tran, it will make the second major executive shakeup at Munchery this year… How? In March, the founder of La Boulange Pascal Rigo, who maned the Chief Customer Experience Officer for just five months citing that the company, “did not share anymore their strategy for growth and their ‘vision’ for the future.” It’s like he was getting a tour of the red flag factory.
Even thought Munchery’s struggles are noteworthy, they are not necessarily unique. In March, competitor SpoonRocket abruptly went out of business
due to an inability to secure additional funding. Many stating that since the boom of the “food delivery” service, it was clearly time.
Even though the company is having trouble seeking additonal funding, Tran is ever so confident, “I am incredibly excited about our future and look forward to continuing to work with the team to take the business to the next level.”
We remember when Munchery came onto the scene with their postcard flyers stacked neatly at all our fave watering holes — a concept for it’s time to say the least.