London-based SimplyCook rustles up £4.5m to fund growth
Recipe kit provider, SimplyCook, has won £4.5m in funding to invest in sales and marketing and technology.
The London-based company supplies boxes containing four recipes and four ingredients from which customers can make meals.
The Series A funding round, which was led by Octopus Investments, will also be used to take the company’s product into new international markets.
“We also expect this funding round to fuel international launches,” said SimplyCook CEO, Oli Ashness. “[And to] provide working capital for the retail business and allow us to invest in technology to aid our operations.”
He said that these investments are likely to be actioned over the next two years.
Set up in 2014, Simplycook relies on sending only non-perishable ingredients to customers rather than full meals with fresh ingredients. This is its differentiator from other meal kit providers such as HelloFresh and Gousto.
“Flavour products are used by over 50 percent of consumers weekly,” Ashness said. “Whereas fresh food delivery still caters for maybe 0.25-0.5 percent of evening meals in the UK. Flavour already works as a way to get people cooking. Fresh Meal Kits are fairly unproven”.
As well as building its subscriber base, SimplyCook also moved onto the high street in early 2018, when it teamed up with supermarket chain, Sainsburys, to provide six recipe kits.