July 18, 2017
Holden Page is a Crunchbase News editor and columnist.
share

Morning Report: Amazon continues to berate the freshly-minted public company’s stock price with news of Amazon Meal Kits.

It appears that Blue Apron can’t catch a break. Upon time of writing, the food delivery company has seen another 2.96 percent decline in its stock price.

The drop comes in light of news that Amazon has now begun delivering meals to Amazon Fresh customers, which comes off the heels of Amazon’s $13 billion purchase of national grocer Whole Foods.

The model that Amazon is employing is strikingly similar to Blue Apron’s core business: portion-packed meals with easy to follow recipes, delivered straight to your door (the latter of which is Amazon’s speciality).

But unlike Blue Apron, Amazon’s meal kit delivery program is limited to the select few customers who are part of the company’s Fresh program. That program is not part of Amazon’s popular Prime subscription; instead, a Fresh subscription (if you are even an area where it’s possible to obtain one) costs customers an additional $14.99 a month. Meal kits are an additional cost on top of that, starting at $14.99.

Whether or not Amazon will ramp up the expansion of Meal Kit program and seriously contend with Blue Apron is unclear. It’s important to note the ecommerce giant has a history of launching similarly competing products, such as Amazon Handmade, that end up being nothing more than a blip on Etsy’s radar.

But, for now, Blue Apron is at the whims of investors. And investors aren’t thrilled with the tenuous position Amazon has put the wilting meal delivery company in.

From the Crunchbase Daily:

Flipkart may pay up to $950M for Snapdeal

  • Indian online retailer Flipkart has sweetened its buyout offer for smaller rival Snapdeal to between $900 million and $950 million, according to media reports. The potential merger is aimed in part at creating a stronger competitor to Amazon, which has been expanding in India.

Hampton Creek directors step down

  • Looks like troubles are spreading for eggless mayo maker Hampton Creek. At least five directors left the board of the food startup, many in the last month, following clashes with CEO Josh Tetrick, according to a Bloomberg report citing unnamed sources.

Shining a light on In-Q-Tel

  • Once the exclusive asset of the CIA, In-Q-Tel, the government-backed venture capital arm, has taken on new partners over the years, including the FBI, NSA, and others. Crunchbase News takes a look at the fund’s investment track record, along with feedback from portfolio companies about the strategic value In-Q-Tel brings to the table. (For more stories, follow @crunchbasenews on Twitter and check us out on Facebook.)