- Quality and reliability of supply: Homecook chefs are not dependable on hours and food quality due to their part-time nature. To have repeatable growth, the quality of supply must be strong.
- Permits & Licensing: Homecook chefs were often not licensed, which caused high liability for our business due to legal and food standards. We learned that focusing on farmers' markets mitigates almost all the risk since they've already been pre-screened.
- Delivery & Logistics: Homecook chefs are scattered throughout the city with low frequency, making delivery very inefficient and thus costly. Farmers market services as a distribution center simultaneously, which solves the density, batching, and timing challenges.
- Basket size: Homecook chefs had a low X AOV. Farmers markets increase AOV and batch orders across categories, e.g., pantry products, snacks, drinks, bakery, meat & fish, fruits, and vegetables.
- Market size: Homecook chefs is a niche market, but the farms are an 800 billion dollar market in the US alone
- Recurring nature: Homecook chefs were often a one-off novelty, while grocery delivery is a highly recurring service for retention.
One of the things that drew me to this was to get out from behind the computer, actually make something with my hands and I'm able to sell it. People seem to enjoy it. So I thought, "Why not start a company?" I use different mediums. So I'm using sugar. I'm using butter. I'm using various nuts. I'm also using chocolate and chocolate is one of those things where it was scary at first. Tempering chocolate, you have to get it right. Otherwise, it doesn't come out properly.