June 5, 2018

HelloFresh to sell kits at grocery stores

HelloFresh is joining other meal kit services in selling its products to grocery stores as well as directly to consumers. According to CNBC, the company will sell its products  in Ahold Delhaize’s Giant Food and Stop & Shop.

Hello Fresh will soon sell its kits at grocery stores.

 The CNBC report said that HelloFresh joins other meal kit services in partnering with grocery chains. Plated started selling to Albertsons last year and Blue Apron has begun selling in Costco Wholesale.

Amid a struggle with user retention, meal kit services have been seeking out brick and mortar partners, where shoppers can use their products without subscribing.

HelloFresh is starting the service in 581 stores, largely concentrated in the Northeast. It is looking for further retail partners as well, said Tobias Hartmann, the company’s president of U.S. business.

To support the move into retail, HelloFresh built out its network from five to 11 facilities, and plans more expansion in the future.

It is also experimenting to see which recipes and packaging work best for retailers and appeal most to shoppers. To start, recipes include Peppercorn Steak and Mediterranean Style Chicken.

For grocers, meal kits offer a lure to bring shoppers into stores, as it becomes increasingly easy to buy food staples online.