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DAILY HARVEST

Netfigo Verdict
on Daily Harvest

The frozen meal company that was the darling of health-conscious millennials until people started losing their gallbladders. Daily Harvest built a beautiful brand and a genuinely good product. The smoothies are legitimately delicious. But the 2022 Lentil Crumbles recall — which hospitalized dozens of customers — was a catastrophe. In the food business, safety is everything. The brand is still recovering. The pivot to retail distribution makes sense, but the shadow of the recall lingers. Beautiful Instagram aesthetic, ugly food safety incident.

Founded

2015

HQ

New York, NY

Total Raised

$310 million

Founder

Rachel Drori

Status

Private — valued at $1.1 billion (2021, likely lower)

THE ORIGIN STORY

Rachel Drori was a busy New York professional who wanted to eat healthy but didn't have time to meal prep. She started making frozen smoothie cups in her apartment and selling them.

The idea: pre-portioned, frozen, organic ingredients delivered to your door. Just add liquid and blend.

It expanded from smoothies to harvest bowls, soups, flatbreads, and ice cream.

WHAT THEY ACTUALLY DO

Direct-to-consumer subscription. Customers order frozen smoothies, bowls, soups, and meals delivered to their door.

Average order $60-80. No commitment subscriptions with customizable deliveries weekly or monthly.

Revenue estimated at $250 million at peak.

THE PRODUCTS

Smoothies (frozen cups), Harvest Bowls, Flatbreads, Soups, Bites (snacks), Ice Cream (plant-based), Lattes (frozen blend).

HOW THEY GREW

Pivoting from DTC-only to retail. Daily Harvest launched in Whole Foods, Target, and Walmart to reach customers who don't want subscription delivery.

Also reformulating products and rebuilding brand trust after the recall crisis.

THE HARD PART

The French Lentil + Leek Crumbles recall. In June 2022, Daily Harvest had to recall a product after hundreds of customers reported severe gastrointestinal illness, with some requiring hospitalization and gallbladder removal.

The recall and lawsuits severely damaged the brand. Customer trust in a food company is existential — once broken, it's nearly impossible to rebuild.

WHO BACKED THEM

Lightspeed Venture Partners, VMG Partners, Lone Pine Capital, 1stDibs, Serena Williams

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