- Asian e-grocer Weee has raised $35 million in Series C funding, according to a company press release. The round was led by DST Global and brings the total amount of capital the company has raised to $100 million.
- The fundraising comes during a busy summer for Weee. Last month it expanded service to four new locations including San Diego; Portland, Oregon; New York and New Jersey, adding to its eight-region service footprint across the U.S.
- The additional funds will be used to support the grocer’s ongoing expansion efforts and recruitment process as it continues to grow.
Weee fills a unique role in the online grocery space. In addition to offering hard-to-find, fresh Asian ingredients, it also aims to make online grocery shopping more affordable.
The grocer offers pantry staples as well as fresh foods including meat, produce and seafood, and allows consumers to purchase without a membership or subscription fee. It also offers free next-day delivery with an order minimum.
Weee noted it has seen 600% growth year-over-year. The e-grocer, which was founded in 2015, has already achieved profitability — a significant accomplishment for a company providing online grocery services, which have notoriously thin profit margins.
Part of the company’s financial success is a result of its streamlined operations, which include direct sourcing and expertise in its merchandising as well as shipping from its own warehouses. According to a statement, DST Global sees potential in Weee due to its rapid growth, efficient operations and customer-first outlook when it comes to pricing, quality and selection.
Earlier this year, Netflix’s former chief operations officer, Tom Dillon, joined Weee’s board, bringing significant experience in operations and direct-to-consumer knowledge.
According to a 2019 report from Nielsen, Asian American purchasing power in the U.S. is expected to reach $1.3 trillion by 2023. The demographic also leads in education and household income and is expected to heavily shape purchasing behavior in the coming years.