Founders: Mike Xu (CEO)
Launched: 2014
Headquarters: San Francisco
Funding: $560 million
Valuation: $3.5 billion
Key technologies: Artificial intelligence, cloud computing, generative AI
Industry: Food, logistics
Previous appearances on Disruptor 50 List: 1 (No. 41 in 2023)
The food supply chain feeds more people than ever but is surprisingly low-tech and fragmented. GrubMarket aims to change that by consolidating and modernizing the sector using technology. Since its founding in 2014, GrubMarket has become the largest private food tech company in the U.S. by revenue. The company currently does business with more than 65 countries, serving both businesses and consumers in all 50 states plus Canada.
Acquisitions have been central to its growth. In the past year, GrubMarket acquired numerous companies, including Global Produce, a South Africa-based fresh produce business; A&B Tropical Produce, a Miami-based business that provides Central and South American fruits and vegetables; Performance Produce, a North Carolina-based produce and specialty foods business; and PA China Farm, a Pennsylvania-based provider of specialty and vegetables.
Companies that GrubMarket acquires use its software suite, which includes sales and online ordering features, inventory management, lot traceability, and automated routing and logistics. It's also launched new tech solutions. In April, it rolled out GrubPay, a payment platform for food wholesalers and distributors. The platform allows GrubMarket customers to accept and manage payments through ACH, credit card or other online methods — replacing checks and cash that are still commonly used in the food supply chain.
In November, GrubMarket launched Farm-GPT, an analytics tool powered by generative AI that uses real-time and historical pricing data from USDA and proprietary sources. The insights help farmers and growers maximize profits and optimize crop selection. The company has a broader GrubAssist suite of AI-powered virtual assistants delivering real-time business insights and analysis.
The company has also announced some new advisors. It appointed John Chiang, the former California State Controller/Treasurer, and Susan Kennedy, Chief of Staff to Governor Arnold Schwarzenegger, to its advisory board.
An IPO has proven elusive, however. When GrubMarket raised $200 million in November 2021, CEO Mike Xu said the company was aiming for a public offering within the following year.
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