Mile High Organics Closes Seed Round from 500 Startups, TA Venture and Others
Boulder-based online grocer aims to fuse high tech with high quality foods and expand distribution networks regionally
MOUNTAIN VIEW, Calif., and BOULDER, Colo., June 19, 2012 /PRNewswire/ -- Mile High Organics, a leading organic online grocer, announced the company has closed a seven-figure sum seed round, which includes investments by 500 Startups of Mountain View, Calif., and TA Venture of Kiev, Ukraine, among others. The company will use the funds to expand its high-quality, cost-competitive grocery delivery service to include new products and services.
"The key difference between Mile High Organics and other grocer services is that we emphasize quality of product and service while being price competitive," said Mile High Organics CEO Michael Joseph. "Part of the reason we are able to do this is by distributing to Colorado's entire Front Range through one distribution center — as opposed to dozens of stores."
After experiencing sluggish growth at the beginning of the decade — mainly due to operations mismanagement and service availability — online grocery shopping is experiencing a resurgence. A recent Nielsen survey showed U.S. consumers spent about $12 billion on online grocery services in 2010 and they forecast that figure will hit $25 billion by 2014. The organic retail market is also booming. The U.S. organic industry grew by 9.5 percent in 2011 to reach $31.5 billion in sales, according to the Organic Trade Association.
Despite a weak economy, Mile High Organics has seen tremendous growth since its launch in June 2010. The company employs 40 people and is currently hiring several more positions. It allows its customers to incorporate fresh, organic food into their diet for their best health and best life. In just less than two years, the company has achieved recurring orders by delighting thousands of members. Mile High Organics recently became the first U.S. Department of Agriculture certified organic online retailer, solidifying their industry leadership and consumer trust.
"We see Mile High Organics emerging as an important player in the online grocery industry," said David McClure, founding partner of 500 Startups. "They are disrupting the $600 billion grocery industry in the United States."
Mile High Organics is one of four Boulder-based startups funded by 500 Startups, the prestigious Silicon Valley based venture capital firm. Other companies funded include SendGrid, Twilio and Brightnest.
"Mile High Organics is an innovative player serving the largest consumer market in the United States, focusing on local organic food products and minimization of environmental impact," said Viktoriya Tigipko, managing director of TA Venture. "The company is developing a truly disruptive e-grocery model to compete for the burgeoning natural and organic grocery market. We are very excited about our investment in Mile High Organics and are confident that the company is uniquely positioned and capable of becoming a leading player in the U.S. organic grocery delivery market and expanding its business to other countries."
Mile High Organics now offers more than 600 grocery products, with an emphasis on providing as much local, seasonal organic produce and groceries as possible. It is the only Colorado retailer that supplies completely non-genetically modified foods, free from synthetic pesticides and chemical inputs.
About Mile High Organics
As America's first USDA certified organic online grocer, Mile High Organics is a rapidly growing online retailer serving Colorado's Front Range with home and office delivery of premium organic, non-genetically modified products. Mile High Organics takes time to investigate every product to ensure it is produced ethically and in the most pristine environment in order to deliver the highest quality and safest products. Their methods also lead to reduced time and handling from source to household than traditional grocery stores. With hundreds of items, including organic milk, produce and gluten-free items, Mile High Organics' mission is to ensure every Coloradan receives the highest quality food in the most convenient way possible – on their doorsteps. The unattended delivery also utilizes fully reusable containers, insulation and ice packs, so as to further reduce the companies' environmental footprint. For more information, visit www.milehighorganics.com.
About TA Venture
TA Venture (http://www.taventure.com) is a venture capital firm focused on investing in innovative seed-stage and early-stage Web companies in Ukraine, Russia and other CIS countries, as well as in Europe and USA. TA Venture manages a $50 million venture capital fund.
About 500 Startups
500 Startups is a seed fund and mentorship-driven startup accelerator program that focuses on helping startups succeed through usable design, customer-focused metrics, and online distribution. 500 Startups is based in Mountain View, California, but their portfolio companies, mentors, and advisors come from all around the world. Learn more at 500.co.
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