Hungryroot Delivers Impressive 2022 Results Amid Growth Trajectory
Grocery and recipe delivery service Hungryroot is sharing impressive financial results from 2022, marking its strongest year or revenue growth since its inception in 2015. The company saw more than $237 million in net revenue, representing a 47% year-over-year increase.
According to Hungryroot, it also saw tremendous growth in January, even beyond the strength seen in 2022. Founder and CEO Ben McKean attributes the company’s success to investments in artificial intelligence (AI)-driven customer experience, including healthy groceries and simple recipes.
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"2022 brought a lot of challenges to the entire grocery delivery industry, with many services faltering or shutting down completely," said Ben McKean, founder and CEO of New York-based Hungryroot. "Despite a highly challenging macro environment, 2022 was a breakout year for Hungryroot having grown nearly tenfold in the past three years from $25M net revenue in 2019 to $237M in 2022.”
Hungryroot asks customers to fill out a survey in an effort to learn about their health and time-saving goals, how they like to eat, the types of flavors they like, and more. The company then uses that data to recommend healthy groceries and simple recipes, with 70% of the groceries purchased being selected by its algorithm.
The company plans to launch additional enhancements to its personalization technology over the next six months to better recommend groceries to its customers and will further optimize its deliveries to reduce food waste. The overall user and customization experience will also be enhanced to make it easier and more convenient for customers to receive their weekly deliveries.
Hungryroot has been busy opening its first fully managed, semi-automated fulfillment center in Indianapolis, and is also set to introduce new offerings to better support families with children, as well as expand into new categories.
"It's incredible to think we've grown from offering just six products back in 2015, to 600-plus groceries and 4,000-plus recipes today," said McKean. "Over the next three years, we plan to significantly expand our grocery and recipe offerings, which will not only aid company growth, but will further solidify Hungryroot as a core part of our customers' health routine."
Hungryroot bills itself as the only grocery and recipe delivery service designed to make healthy eating easy, personal and sustainable. It currently offers more than 500 grocery items that meet its high-quality Root Standard, as well as more than 4,000 chef-crafted recipes.
