"HelloFresh and competitors such as Gousto and Mindful Chef experienced rapid growth during the Covid lockdowns when people were told to stay at home, and at one point it was projecting revenues of 10bn (8.6bn) by 2025. However, the market value of the company has collapsed dramatically in recent years, and turnover came in at 6.8bn last year."
"The Berlin-based company's share price has plummeted 93% since its 2021 peak as consumers turned away from convenience meals amid cost of living pressures. It fell 8% in early trading on Wednesday."
"Over the past year, we have seen consumer behaviour shifting decisively toward eating real food. The debate is no longer simply about convenience, it is about the quality of what is convenient, the chief executive, Dominik Richter, said. Customers raise the bar constantly."
HelloFresh, the German meal kit delivery company, experienced dramatic decline following the post-pandemic collapse of demand. Revenue fell 11% to €6.8 billion in 2025, far below the €10 billion projection made in 2021. The company cut 900 UK jobs, closed delivery sites including Nuneaton, and withdrew from Spain and Italy. Total orders dropped 12% while meal deliveries fell by over 100 million. The share price plummeted 93% from its 2021 peak as consumers shifted spending priorities during economic uncertainty. HelloFresh implemented cost-cutting measures, reducing workforce from 21,800 to 19,000 employees. Manufacturing problems in the US further impacted performance. The company projects additional revenue decline of up to 6% in 2026.
#meal-kit-delivery-decline #post-pandemic-market-correction #consumer-behavior-shift #cost-of-living-impact #corporate-restructuring
Read at www.theguardian.com
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