Our investment in Buncha
We are excited to announce that Matchstick Ventures Fund III has completed an investment in Buncha. Buncha is a weekly neighborhood grocery delivery service focusing on affordability through grouping orders together.
Background: As interest in on-demand delivery continues to grow in the United States, especially in the wake of the COVID-19 pandemic, many services have focused on speed over costs. While this has created many fast options for consumers, they are also very expensive. Consumers know there is a “catch” to on-demand delivery options in terms of cost, and have avoided using them when possible.
This behavior suggests that customers are not as impulsive as previously thought, and are willing to plan ahead for certain items and stores. Customers should be rewarded for this behavior, as it helps merchants to plan their inventory in advance and make deliveries without resorting to a third-party.
Company Specifics: Buncha is a weekly, neighborhood-based delivery service for local merchants. Much like a milkman, Buncha’s platform aggregates orders for certain merchants on certain days of the week, incentivizing customers to order together to create cheaper economics for both the customers and merchants alike.
Each week, customers can shop and edit their orders ahead of specific delivery days for their favorite local stores. Costco is on Tuesday, Target is on Thursday. Deliveries are provided at a low, fixed cost with no markups, with discounts provided when more neighbors join in on a Buncha order. Together, neighbors can save on the essentials they need while merchants can find new customers and turn existing customers into evangelists.
Bunch makes delivery make sense, and also adds sustainability by condensing delivery routes, putting less cars on the road and reducing emissions.
In 2018, Ryan worked with Buncha in the Techstars Retail Accelerator program, and has known Buncha founder Bharat Pulgam since he was in high school. We are excited to support them now as they continue their rapid growth.
Learn more at:https://www.gobuncha.com/