- Investment sought:
- Equity offered:
Select a recipe on our website and we deliver the right amount of ingredients with cooking instructions on the same day (or you can also schedule it for a particular day). Dinnr takes the cognitive load off the cooking process.
We deliver throughout the UK - no subscription required.
We also do special meals for occasions throughout the year, for e.g. Christmas, Thanksgiving, Valentines Day, etc.
Cooking a quality meal at home from scratch takes too much time and effort in planning and executing. The average person’s lack of skills and a limited product choice in inner- city supermarkets lead to a narrow repertoire of dishes. Online recipes are often not well-curated and leave room for doubt. Ingredients bought in bulk end up being wasted.
These obstacles result in heavy use of takeaway food and ready-made meals (often unhealthy) or restaurants (often expensive).
Dinnr provides a real alternative by delivering ingredients with a recipe to create exciting meals at home. By using Dinnr, customers don't have to spend mental energy and time to figure out what recipes to cook, they don't have to spend time trolling through supermarkets looking for ingredients, and there are no left overs. At the same time, our easy to use instructions make it a breeze to learn how to make amazing dishes quickly.
Substantial accomplishments to date
- Since launch in Sep 2012, we have grown ~30% month on month
- Several positive reviews and mentions, including in Guardian, Female First, Handbag,com and many food blogs
- We started delivering throughout the UK in Jan 2013
- Repurchase rate has been steadily increasing
- 1,300 Facebook Likes
- 900 Twitter followers
- 1,100 registered users and newsletter subscribers
- 95% of customers give us four or five out of five stars.
We plan to purchase ingredients in bulk, and re-sell on a retail price basis.
We expect to be able to charge a premium because of our experience, and will look to potentially add high-margin products such as alcohol.
Customers transact on the website to purchase a bag with recipe ingredients which add up to around 50% of revenue. Add packaging and delivery and we arrive at a 25-30% margin.
Use of proceeds
The major portion of the proceeds raised from Seedrs will go towards the following:
- Salaries for staff - £24k
- Tech & design (web, new mobile app and photography) - £10k
- Marketing and PR - Rest of the amount.
Urban professionals with £38k+ personal income, age 25+ (women) 30+ (men), usually couples with young or no children.
Characteristics of target market
Market Size: The grocery market in the UK is estimated at £163bn (2012) with the category of recipe-based ingredient delivery of an estimated £340m (that is translating the Swedish market size of £51m (2011) to UK population).
Demand Gap: The market for subscription-based weekly deliveries contains a number of big players (Hellofresh, Jessica's Recipe Bag, Gousto).
We think a gap exists for individual meals delivered on the same day without requiring a subscription and for a service emphasizing the dining experience rather than grocery delivery.
1. Partnerships with companies to push us as a healthy and lifestyle alternative to their employees; supperclubs and dating companies; high-end supermarkets and delis; short-term letting firms like Airbnb
2. PR – This product requires educating and acquainting customers with the concept: Lifestyle magazines, food blogs
3. Online channels such as SEO and paid branding campaigns
4. Social - Our product is inherently viral in its nature by emphasizing shared dining. Can be leveraged well for social networks (Facebook, Twitter, Google+, Pinterest)
Dinnr competes by offering same day delivery, 6 days a week, and greater customer choice in allowing them to pick their dishes.
In the UK the main competitors are:
− Hellofresh.co.uk, $10m funding 12/2012, 6 countries
− Gousto.co.uk, early-stage funded, started 06/2012
− Jessica's Recipe Bag (UK business partnership with Swedish trailblazer Linas Matkasse, who received 4.4m EUR funding 05/2011).
Potential competitors are any supermarkets who could start specializing in providing such a service.
Some key things which Dinnr plans to and is already focussing on to give us an edge over our competition:
1. Flexibility - All our competitors focus on subscription and only deliver once a week.
Dinnr does not require subscription and delivers 6 days a week (competitors only deliver once a week).
Dinnr also offers same-day delivery with a minimum time window of one hour between order and delivery
2. Focus on customer service - because it is not a must-have product, customer service is the be-all and end-all of our service.
We think we have already shown success in this area.
3. Operational edge - we’re building operational capabilities with cooling / rapid packaging and same-day delivery that make our service superior as an ad-hoc service while our competitors only focus on weekly deliveries.
4. Driving loyalty through experience:
We go after a different segment than our competitors
We provide an experience product where the details matter a lot (they provide ingredients for dinners - we provide a dining experience, complete with starter, dessert, music and wine).
This takes diligence and effort - and we believe that a competitor following standard copycat formulae won’t have the patience to get the details right. This focus on the right experience is something that customers make an emotional connection with - which drives loyalty and retention.