{"id":340383,"date":"2017-05-09T05:39:04","date_gmt":"2017-05-08T21:39:04","guid":{"rendered":"http:\/\/techcrunch.com\/?p=1486643"},"modified":"2017-05-09T05:39:04","modified_gmt":"2017-05-08T21:39:04","slug":"prepared-food-distribution-service-power-supply-rebrands-as-territory-and-raises-6-7-million","status":"publish","type":"post","link":"https:\/\/people.utm.my\/asmawisham\/prepared-food-distribution-service-power-supply-rebrands-as-territory-and-raises-6-7-million\/","title":{"rendered":"Prepared food distribution service Power Supply rebrands as Territory and raises $6.7 million"},"content":{"rendered":"

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If you thought the world didn\u2019t need another prepared food distribution and delivery service, apparently you\u2019d be wrong, as the newly-minted startup,\u00a0Territory<\/a>, has managed to pull in $6.7 million for its healthier eating options.<\/p>\n

The Washington-based company formerly known as Power Supply<\/a> raised the money as it looks to expand to new geographies and consolidate its position in the Washington DC, Southern Californian, and San Francisco markets it\u2019s\u00a0already operating within.\u00a0<\/em><\/strong><\/p>\n

The timing is auspicious as another twist on the meal delivery service, Maple (which was backed by the Momofuku-famous celebrity chef, David Chang) has just shut down<\/a>. \u00a0Another prepared food delivery company, SpoonRocket, shut down in May of last year.<\/p>\n

Territory\u00a0has what investors and the company\u2019s founders hope is a fresher take on the food preparation and distribution game. The company taps local chefs for its supply and gives them pre-determined menus or ingredients selected\u00a0by nutritionists or healthcare facilities that they can use to fulfill customer orders.<\/p>\n

The company incorporated in 2011 when co-founders Patrick Smith and Robert Morton, old colleagues from the financial analysis website, The Motley Fool, hooked up with Jeff Kelly and Josh Krieger \u2014 two DC-based food entrepreneurs.<\/p>\n

The company launched in DC in 2011 and expanded in 2015 to Los Angeles, followed by San Francisco last year, and Dallas earlier this year. The slow expansion is a reflection of the methodical way in which the company approaches growth.<\/p>\n

To date, Territory has served 2 million meals through\u00a0its roughly 350 distribution locations and delivery service.<\/p>\n

The secret to the company\u2019s success so far has been its go-to-market strategy which depends on reaching out to customers through places like gyms and wellness centers.<\/p>\n

It\u2019s pre-prepared food for the crossfit set, a customer base that\u2019s a reflection of the founders\u2019 own lifestyle.<\/p>\n

\u201cAfter having ignored my health for a long period of time\u2026 I popped up and I realized my mortality was becoming pretty evident,\u201d said Smith. \u201cIt led me to a commitment around fitness and nutrition.\u201d At the time, he said there were few companies that truly offered him the kind of dietary options that Smith felt he needed. So he founded his own.<\/p>\n

Smith and his co-founders aren\u2019t alone, according to Morton. The 20-something to 40-something professional committed to healthy lifestyles are naturally occurring hives of people, he said.\u00a0Territory partners with the owners at the gyms and workout\u00a0facilities that that population frequents and encourages those hives to pitch\u00a0Territory meals as part of a healthy lifestyle for their customers.<\/p>\n

The ready-to-eat meals are prepared by chefs who are working in concert with nutritionists on menu plans.<\/p>\n

Initially meals came in paleo-diet or omnivorous options.<\/p>\n

With the new financing the company will offer diets tailored to a 30-day dietary reset that will identify foods that have \u201ca negative impact on cravings, metabolism, digestion and inflammation\u201d;\u00a0MedStar Healthy<\/a>\u00a0meals that are 350 to 600 calories, contain 30 to 60 grams of carbohydrates and fewer than 750 miligrams of sodium with no more than 7 grams of saturated fat (the diet\u00a0was based on guidelines from the American Diabetes Association and the American Heart Association). A mediterranean diet, designed by celebrity dietician\u00a0Ashley Koff RD<\/a>, and diet for new and expecting mothers and macronutrient meals are also on offer.<\/p>\n

Each meal costs $13.<\/p>\n

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    Territory 2_Box and packaging<\/h3>\n<\/li>\n
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    Territory_3 Med Diet<\/h3>\n<\/li>\n
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    Territory_Packaged Food 1<\/h3>\n<\/li>\n<\/ol><\/div>\n

    For Upfront Ventures partner, Kara Nortman, who backed Territory\u2019s initial funding round, the business case was too compelling not to invest. The company had gained traction in a market where many other companies had failed to keep a foothold and Nortman was curious how.<\/p>\n

    Nortman says the company addresses the changing behavior patterns of consumers (especially middle class and upper class consumers) who no longer shop at grocery stores, but are looking for the ability to cater their consumption patterns to other aspects of their lives. The business model and numbers were convincing enough for Upfront to reinvest.<\/p>\n

    New investors NRV and Lewis & Clark Ventures and previous backers like The Motley Fool Holdings\u00a0also believed in the company enough to back its vision.<\/p>\n

    \u201cBy combining technology and logistics expertise with carefully curated, healthy and delicious meals from top local chefs and restaurants, Territory is reaching a loyal customer base, which in turn, enables attractive margins and high growth potential,\u201d said NRV co-founder and managing director Ted Chandler, in a statement.<\/p>\n

    Smith and his team see their company as part of the growing push for a health and wellness based on an understanding of total health, rather than through dietary supplements or some sort of miracle product.<\/p>\n

    \u201cThere\u2019s this massive shift going on and a mind-shift from \u2018Is there a pill for that?\u2019 to \u2018Is there a food for that?’\u201d Smith says. \u201cWe\u2019re in the super early days around genetic sequencing or microbiome treatment, but right now there are very clear guidelines around nutrition.\u201d<\/p>\n

    Finally, Smith sees a social mission beyond catering to his bourgeois contemporaries. Like other companies promoting a lifestyle, Smith thinks there\u2019s a place for his company\u2019s meals in a more varied range of homes.<\/p>\n

    \u201cThe impact side of this is super important to us,\u201d Smith says. \u201cThe common prescription to be healthy is to eat better and move more. And our company\u2019s [prescription] is to help people find that and solve that in their lives.\u201d<\/p>\n

    Food access is a big priority at the company. They have a national program in place to partner with farm-to-school programs around the country. And there\u2019s a food donation program that donates the 100-or-so test meals that the company\u2019s cooks make to soup kitchens in local areas. Territory also encourages its employees to volunteer.<\/p>\n

    \u201cThis is a really authentic thing that\u2019s super important to us,\u201d Smith said. \u201cHow do we\u00a0impact the most people possible in a proactive way to maximize their health.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"

    \"\" If you thought the world didn’t need another prepared food distribution and delivery service, apparently you’d be wrong, as the newly-minted startup,\u00a0Territory, has managed to pull in $6.7 million for its healthier eating options. The Washington-based company formerly known as Power Supply raised the money as it looks to expand to new geographies and consolidate its position in… Read More<\/a><\/p>\n

    \n<\/img><\/a> <\/img><\/a> <\/img><\/a> <\/img><\/a> <\/img><\/a> <\/img><\/a>\n<\/div>\n

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