UK startup raises £5m to accelerate sustainable grocery shopping
ETF Partners (The Environmental Technologies Fund) has announced a £5m investment in The Modern Milkman (TMM), a fast-growth UK startup committed to building a more convenient and sustainable approach to grocery shopping. The Manchester-based business delivers convenient groceries from independent and local suppliers directly to customers’ doorsteps in returnable and reusable packaging.
The investment tallies with ETF Partners’ mission to fuel digital innovation in sustainable European startups.
TMM’s operational excellency, digitally advanced delivery platform and customer-centric approach has allowed the business to grow its revenue by 10x in 2020. With the new financing, TMM will expand beyond Northern England across the UK, fulfilling its target to help consumers shift away from single-use plastic and lead a sustainable lifestyle, without compromising on convenience. To date, TMM helped reduce more than nine tons of single-use plastic.
The funding decision follows a transformative year in the grocery industry, as demand for food deliveries soared as a result of the COVID-19 outbreak and an increasing number of UK consumers shopped online.
Simon Mellin, Founder and CEO of TMM, stated: "ETF was the obvious choice of investor for us and we're thrilled to have their support as we move into the next phase of our journey. We believe their insight, skill and experience in the sustainability space will help us deliver the positive impact we strive to have on the environment at pace, as we move forward with our expansion plans across the UK over the course of 2021.”
Tomer Strikovsky from ETF Partners added: “In today’s world, many of us are looking to reduce our environmental impact on the planet, but convenience remains key to daily life. The team at TMM have been able to intelligently respond to these oft viewed as duelling consumer requirements.
"We have learned that they need not be; consumers do not need to forgo convenience when prioritising the sustainable environmental, economic, and social structures surrounding food delivery. We have full confidence that TMM will play an important role in changing how we consume food, and we continue to be impressed by the founders and their commitment to sustainability.”