Food delivery startup Wonder raises $350 million

Diving Brief:

Overview of the dive:

Although Wonder’s current market reach is limited, the company plans to expand into new areas of the United States by 2035. according to the Wall Street Journal.

Wonder’s police station kitchens source ingredients, but orders are cooked, finished, and plated in mobile kitchens out front. consumers houses. Food is served as soon as it is ready. The company has worked with chefs like Bobby Flay, Nancy Silverton and Daisuke Nakazawa, Lore said in a LinkedIn post in December. Curbside cooking would solve several problems associated with food delivery, including customers receiving lukewarm and soggy food.

The company also delivers food from local restaurants through its Envoy courier service. She plans to deliver ready meals and meal kits in the future.

The next two months could prove difficult for the company, however, given high fuel prices and the continuing labor shortage. These challenges could prevent Wonder from reaching new areas of New Jersey. Some food delivery couriers are starting to turn away from the food delivery business due to rising gas prices. Aggregators like Grubhub, DoorDash and Uber Eats have tried to help drivers bear gas prices with incentives or fuel surcharges, but some of those programs have already ended.

The cooks are also expect high salaries and line cooks are in short supply, which could make it difficult to keep Wonder’s mobile food trucks staffed, especially if the service gains popularity.

Lore is familiar with delivery, having founded e-commerce site, which sold to Walmart. for $3.3 billion in 2016. Following the acquisition, traditions led Walmart’s e-commerce division in the United States until January 2021.