Back with new funding, SG e-grocer UglyFood hopes second time’s the charm

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Hi there,

When I’m looking for a quick dinner late at night, I’ll sometimes go to the supermarket and get a box of sushi that has been marked down. It’s a win-win: I pay less, and the food doesn’t go to waste.

There’s a similar theme going on with UglyFood, an online grocer that specializes in blemished and surplus produce like fruits and vegetables.

What’s notable is that a previous version of the company, which was founded by Augustine Tan as a university project in 2016, suddenly shut down in January after failing to raise enough funds.

However, as my colleague Melissa covers in this week’s Big Story, UglyFood is now back in action, having secured backing from a strategic partner in the imports sector.

What else has changed? The company has revamped its logistics system, bolstering what was once a weak spot. But will all these improvements be enough for the new iteration of UglyFood to succeed?

In Melissa’s article, Tan also mentions that only two types of players in the grocery space survive: those who are very established and those who have a specific niche.

That’s generally the case in retail, and this theme carries through to this week’s Hot Take. I look at how US retail behemoth Walmart has not only held its own against Amazon in the US but has also built an ecommerce business that’s growing faster than the Seattle-based online shopping pioneer.

What lessons can Asian retailers learn from this? Read on to find out.

— Simon

THE BIG STORY

Fresh start for UglyFood as new ‘strategic partner’ funds logistics overhaul

Image credit: Timmy Loen

Four months after its closure, the Singapore-based e-grocer is back up and running with a new “strategic partner” and a revamped logistics system.

THE HOT TAKE

NEWS YOU SHOULD KNOW

FYI