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Kiwi meal subscription market heats up with newcomer, World On a Plate

  • News
  • August 26, 2015
  • Elly Strang
Kiwi meal subscription market heats up with newcomer, World On a Plate

Despite what seems like an oversaturated food delivery market with the likes of Farro Foodkits and My Food Bag, World On A Plate (WOOP) founder Thomas Dietz says there’s still market share for newcomers.

“The New Zealand market for these kinds of food services is relatively underdeveloped compared to overseas home food distribution,” Dietz says.

He says one leading American food delivery service delivers over three million meals per month for US$10 a meal, generating more than $300 million in revenue.

In New Zealand, the amount of people getting food deliver services is much smaller.

According to Nielsen’s March Consumer Media Index Survey, 113,000 household shoppers had gourmet meals, recipes and ingredients delivered to their home in the previous month.

WOOP conducted research and found the market size for home food delivery in New Zealand is 200,000.

Seeing as one of its main competitors, My Food Bag, has around 15,000 customers, Dietz sees a lot of untapped potential.

Dietz says WOOP’s research has found one of the barriers stopping Kiwis using food delivery services is the preparation time for meals.

To counter this, WOOP says it differentiates itself from other meal delivery services by ensuring meals can be made in just 15 minutes.

The meals are delivered weekly and customers receive a chilled box containing pre-chopped ingredients, as well as meat and vege which are partly cooked if necessary.

Dietz is french and his previous endeavours include Tomette, a food production business producing ready-to-eat French meals.

Tomette is stocked in supermarkets such as New World, Farro and Nosh and won the  won three awards at the 2013 NZ Food Awards, including Best Product.

WOOP soft launched in Auckland in August and delivers food to more than 50 customers, but wants to expand to Wellington by 2016 and Australia by 2017.

It’s equity crowdfunding on Snowball to help fund its expansion and aims to raise $550,000.

Just over $395,000 has been raised so far.

Food and grocery home delivery is one of the world’s hottest venture capital sectors, according to WOOP.

It says over $1 billion was invested in the sector 2014, this year, over $500 million has been invested in the first quarter.

Other home delivery services:

My Food Bag 

My Food Bag allows customers to subscribe to a weekly or fortnightly delivery of fresh food and simple recipes, with a variety of options depending on the size of your family. It was the first gourmet delivery company on the New Zealand scene in 2013. My Food Bag’s head chef and dietician is season two Masterchef winner Nadia Lim. After two years, My Food Bag says it has about 15,000 customers and its revenue is $40 million annually.

Farro Foodkits

Premium grocery company Farro Fresh launched Farro Foodkits earlier this year. The service offers over 40 Foodkits available for delivery within the Auckland region Tuesday to Saturday. Ray McVinnie, chef, author and Masterchef judge, is the ambassador and chief recipe developer for Farro Foodkits.

The Handy Food Shop

The Warkworth-based company delivers pre-prepared meals to its customers’ doors within 24 hours to most part of the North Island. The meals can be stored in the freezer until a later date or eaten immediately. Meals vary, from chicken or pork dinner dishes to pies, puddings and treats.

Wilder + Hunt

Wilder + Hunt provides health conscious breakfast, lunch, desert and take-home meals for the family or individuals. The company is based in both Ponsonby and St Heliers, with the option of picking up meals in store or getting them delivered.

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