Thrive Market, a US-based grocery e-commerce platform backed by media company Scripps Network, has raised $111m in a funding round led by investment firm Invus, the New York Times reported yesterday.
The round also featured existing investors including venture capital firms Greycroft Partners, E.ventures and Cross Culture Ventures.
Founded in 2013 and launched in late 2014, Thrive Market runs a subscription-based online shopping service that provides organic produce at what it claims are more affordable prices than specialist grocers such as Whole Foods.
The company’s business model involves each paid membership also sponsoring a membership for a low-income family, and it is petitioning the US government to allow food stamps to be spent online.
Thrive Market has signed up more than five million registered users and has in excess of 300,000 paying members. It plans to spend the funding on marketing, the expansion of its range of own-brand goods and, CEO Gunnar Lovelace told TechCrunch, the addition of healthy food-related media content.
The latest funding follows $8m in convertible debt financing raised from assorted angel investors, followed by a $30m series A round in July 2015 co-led by Greycroft and E.Ventures that included Scripps, Cavu Venture Partners and Powerplant Ventures.
– Photo courtesy of Thrive Market