Ontario-based Invafresh, a fresh grocery platform, announced that it has acquired Gothenburg’s Whywaste, a provider of end-of-life product solutions for grocery retailers and convenience stores like ASDA, Tesco One Stop, SPAR International, and Coop Sweden.
This strategic move aims to reduce food waste, ensure regulatory compliance, and enhance profitability within the industry.
According to Deloitte, over 1.3 billion tons of food, valued at $1T, are lost or wasted annually, posing a significant global challenge. Without urgent action, this waste is expected to increase by 70 per cent by 2050.
Industry experts stress the importance of innovative solutions, especially sustainable waste management, to address this issue, reduce food waste, and promote environmental sustainability in the food industry.
John Harmon, Senior Technology Analyst at Coresight Research says, “We estimate that US food waste totaled more than $650B in 2022, based on $1.25T of food and beverages purchased for off-premises consumption combined with an estimate that 35 per cent of food goes unsold or uneaten. 63 per cent of grocery retailers view food waste reduction as very important in meeting corporate sustainability goals.”
“The addition of Whywaste’s suite of waste reduction tools to Invafresh’s AI-enhanced demand forecasting capabilities could help retailers achieve those goals,” adds Harmon.
Aim of the acquisition
This acquisition positions Invafresh as a major player in the grocery retail industry, offering an advanced and comprehensive solution that not only benefits retailers in terms of revenue and efficiency but also aligns with their sustainability goals.
Tim Spencer, CEO at Invafresh says, “I’m excited to welcome Whywaste as part of the Invafresh team and look forward to working with them to expand the global footprint of our combined Fresh Retail platform offering.”
“Throughout the due diligence process, I was impressed by both the caliber of talent at Whywaste and the quality of their products. That talent and product quality has allowed Whywaste to establish themselves at the forefront of the rapidly growing sustainability movement by enabling grocery retailers to profitably reduce food waste,” adds Spencer.
This acquisition is expected to benefit Invafresh and its customers in several ways:
- Accelerated Global Growth: With the acquisition, Invafresh is poised for rapid expansion on a global scale, leveraging the expertise and technologies of Whywaste.
- Enhanced Functionality: The integration of Whywaste’s solutions, including advanced date checking, markdown price optimisation, and donation platform capabilities, will enhance the features of Invafresh’s AI/ML enhanced Fresh Retail Platform.
- Waste Reduction and Revenue Increase: Customers using the Whywaste platform have experienced tangible benefits, including a 30 per cent reduction in waste and a 17 per cent increase in revenue through optimised discount pricing.
- Superior Shopping Experience: By leveraging the combined technologies, grocery retailers can offer a superior shopping experience to their customers. This might include reduced food waste, better pricing strategies, and a seamless shopping process.
- Sustainability Targets: The merged platforms will likely help retailers in achieving their sustainability targets. By minimising waste and optimising pricing, retailers can contribute significantly to reducing their environmental impact.
Kristoffer Hagstedt, CEO at Whywaste says, “With the innovation Invafresh brings to the grocery retail market with their Fresh Retail Platform, partnering with them is the natural evolution for Whywaste.”
“Food waste is a global challenge, and our combined solution gives grocery retailers a proven approach to reducing shrink and helping them achieve their sustainability goals.”
Brief about Whywaste and Invafresh
Whywaste is a food tech company specialising in markdowns and food waste management solutions for grocery retailers. Its services are utilised by over 40 chains worldwide, addressing the growing demand for intelligent and sustainable solutions in the grocery retail industry.
Invafresh, with over 500 years of combined Freshology expertise, has empowered fresh food retailers to achieve exceptional store operations and deliver unique customer experiences.
Invafresh is utilised by 300+ grocery retailers across 18 countries, facilitating daily transactions exceeding $100M in Fresh revenue. The company’s services encompass AI/ML demand forecasting, merchandising, replenishment, as well as sustainability and compliance solutions.
