Madison, Wisconsin-based GrocerKey, an e-commerce company providing white label technology to grocery retailers, has released the closing of a $2.4 million equity round. The equity round in GrocerKey included a total of 18 private investors, including many who had invested previously. The company stated the proceeds will be used for continued enhancements to its platform and added strategic support to serve its growing retail client base.
“As we continue to live life in a global pandemic, grocery retailers are looking for ways to retain customers and compete in an industry disrupted by rapidly changing shopping habits,” said GrocerKey CEO Jeremy Neren. “GrocerKey is uniquely positioned to help brick and mortar grocery retailers not only build and scale e-commerce profitably, but also to pivot in an uncertain landscape to meet shifting demands.”
In 2020, the pandemic and rapid adoption of online grocery shopping propelled the success of GrocerKey’s e-commerce platform. Following an unprecedented pipeline of grocers in need of expanding their digital capabilities, the company experienced an 85 percent increase in sales for its second quarter when compared to the same period in 2019 and is poised to surpass the $12 million in revenue it generated last year.
“As we head into the new year, we remain focused on building out our platform to help our grocery partners increase basket sizes, fulfill curbside pick-up and home deliveries, and improve the customer experience to collectively shape the industry’s future,” Neren said. “We’re grateful to our investors for seeing our vision and for supporting our company’s future growth.”
With this latest round of funding, GrocerKey has raised a total of $9.5 million from investors, including from Woodman’s Markets, dunnhumby Ventures and gener8tor. Since launching in 2014, the company has grown more than 1,455 percent.
GrocerKey combines white label e-commerce technology, deep e-commerce grocery operating experience and proven strategies to help brick and mortar grocery retailers build a profitable e-commerce business. GrocerKey partners with leading independent and regional grocery chains throughout the U.S. and Canada. The company currently ranks No. 311 on the 2020 Inc. 5000 list of the nation’s fastest-growing private companies.
