Startup Trends: Foodtech’s momentum (and money) is on the menu

The foodtech market is steadily expanding as investors and consumers alike embrace innovation in how food is produced, distributed and consumed. In 2024, the global food services technology sector reached an estimated $210.9 billion, with projections calling for 8.2% annual growth through 2034.¹ The United States led global fundraising, accounting for $6.6 billion in capital — a 14% increase from 2023.²

Five private companies are helping drive durable, tech-enabled growth across grocery, meal delivery and “better-for-you” consumer categories. Together, these firms exemplify the innovation fueling foodtech’s next decade of expansion.

GrubMarket, digitizing the food supply chain

Headquartered in San Francisco, GrubMarket is a platform transforming the way the food supply chain reaches distributors and consumers through AI-powered software. Its solutions act as digital transformers, efficiently connecting farmers with distributors, wholesalers and grocery stores to sell their products. GrubMarket also operates a consumer-facing platform, allowing food to be purchased and delivered through its application.

Founded in 2014, GrubMarket has acquired a series of produce businesses. In June of 2025, the firm acquired Coast Citrus Distributors and a major provider of tropical produce in the U.S.³ The news came shortly after it acquired Delta Fresh Produce in April, a provider of Mexican-grown produce in the U.S.⁴ These mergers open the door for a client base that includes national retailers such as Walmart, Costco, Publix and Sprouts.

GrubMarket’s Forge Price™ is $22.46 as of November 13, 2025, implying a valuation of $3.55 billion. The firm’s notable investors include Liberty Street Funds, Tiger Global Management, BlackRock and Y Combinator.

Thrive Market, a general-purpose robotics company

Based in Los Angeles, California, Thrive Market is on a mission to make healthy living easy and affordable for everyone. The healthy grocery store operates online and serves over 1 million users with a membership-based shopping platform. According to the company’s website, users can shop for over 6,000 healthy food products at discounted rates.⁵

Founded in 2014, Thrive Market has been experimenting with a retail media platform where its partners can advertise. While the firm holds that its membership experience and ecommerce are its top priorities, 25% of its brand partners are investing in its ad services, adding a potential new revenue stream for the firm.⁶ Early this year, Thrive Market saw its revenue expectations for this product double since its soft launch in November of 2024.

Thrive Market’s Forge Price™ as of November 13, 2025, is $21.00, implying a valuation of $1.10 billion. Its investors include Kleiner Perkins, Owl Ventures, Bam Ventures and Runway Venture Partners.

Olipop, producing healthy soft drinks

Oakland, California-based Olipop is a health-conscious soft drink company that offers a range of beverages designed to support digestive health through a blend of prebiotics, plant fiber and botanicals. Its healthier alternatives are derived from herbal ingredients such as cassava and chicory roots, among others.

Founded in 2018, Olipop has seen soft drink competitors like Coca-Cola introduce its own prebiotic soda brand, Simply Pop, affirming consumer demand for healthier beverage products.⁷ Earlier this year, the private company closed a $50 million funding round, which put the firm’s post-money valuation at nearly $2 billion. Olipop announced its plans to use the money towards marketing, new flavor creation and distribution.⁸

Olipop’s Forge Price™ as of November 13, 2025, is $25.25, implying a valuation of $1.46 billion. Its notable investors include J.P. Morgan, Rocana Ventures, Monogram Capital Partners and Fifth Down Capital.

Hungryroot, healthy meal subscriptions

Founded in 2015, New York-based Hungryroot is a personalized grocery service that makes it easy for its users to eat healthy. Its members tell Hungryroot about themselves and their eating habits, and the company delivers fresh groceries along with recipes straight to their door. The foodtech company monetizes through a recurring subscription fee from its customers.

Hungryroot is becoming known for its AI-enabled software. It compares users’ regular quiz and review responses, along with their purchase habits, to come up with a meal delivery plan that helps members meet their health goals. Some of the firm’s customers have described it as speed-dating with an AI-robot, with food being the center of the conversation.⁹

Hungryroot’s latest price per share is $27.61 as of its funding round in June of 2021, placing its post-money valuation at the time at $838.04 million. Its notable investors include Brooklyn Bridge Ventures, Chicago Ventures, Great Oaks Venture Capital and Lightspeed Venture Partners.

Misfits Market, a discounted grocery service

Misfits Market is an online grocery service with a mission to deliver fresh organic produce, sustainably sourced pantry staples, and other grocery items straight to customers’ doors at up to 40% off grocery store prices. The foodtech company seeks to make perishable items work through online sales and eliminate grocery store waste by offering “imperfect” goods that are still usable, but not distributed by producers. Misfits Market has recently expanded its offerings to include cleaning and household products.¹⁰

Based in Hanover, Maryland, Misfits Market acquired rival Imperfect Foods in 2023, a leader in the “ugly grocery” category. The move brought 400,000 new households to Misfits Market’s database, along with aspirations of further streamlining its operations and logistics through the combined workforce.¹¹

Founded in 2018, Misfits Market’s Forge Price™ is $10.00, as of November 13, 2025, putting its post-money valuation at $292.96 million. Its investors include SoftBank, Valor Equity Partners, Greenoaks Capital and Third Kind Venture Capital.