Missfresh Expands Live Seafood Sales in First-tier Cities After Surging Sales

The neighborhood retail provider will ensure the safety and freshness of the consumers' favorite live seafood delivery in top cities in China.
Sep. 16, 2021 22:57
Missfresh Expands Live Seafood Sales in First-tier Cities After Surging Sales

(CapitalWatch, Sept. 16, New York) Missfresh Ltd. (Nasdaq: MF) has announced its accelerated live seafood delivery after noting a twentyfold increase in the segment's sales in the second quarter.

The neighborhood grocery delivery platform said in a statement today that it will provide 30-minute live seafood delivery in eight top cities in China, including Beijing, Shanghai, and Shenzhen. It will ensure "maximum freshness, food safety and speedy delivery" as its warehouses are equipped with fish tanks of different salinity and temperatures, customized for various types of seafood.

"All seafood is delivered live in special packaging injected with oxygen, which keeps seafood fresh by minimizing external exposure, or customers can choose to have their purchases delivered pre-cleaned and ready to cook, eliminating the hassle of handling live seafood," Missfresh wrote. The company also said live seafood goes through safety checks and buyers can access the test results and other product information.

Live seafood arrives at the company's city sorting centers daily, ensuring maximum freshness. Missfresh noted that its approach to live seafood delivery is unique among Chinese grocery delivery platforms, as most providers purchase and transport live seafood every few days, resulting in longer storage periods and reduced freshness. 

Currently, Missfresh offers more than 100 products in the segment, curated for the Chinese consumer, as well as the taste preferences in various regions. Starting this month, seasonal seafood like mitten crab is also available for purchase.

In late August, the seven-year-old platform, backed by tech giant Tencent Holdings (OTC: TCEHY; HKEX: 0700), reported topline sales growth of 41%, at $293.4 million, and 35% GMV growth in the second quarter. Missfresh combines on-demand distributed mini-warehouse (DMW) retail, smart fresh markets, and retail cloud service for its merchants and clients.

In June, the company celebrated its initial public offering in New York and since then has been strengthening its business lines and advancing the digitalization of neighborhood retail. It has struck several strategic partnerships, including one with e-commerce platform JD.com (Nasdaq: JD; HKEX: 9618). The company is also collaborating with delivery platforms Ele.me and Meituan (HKEX: 3690), as well as Tencent Smart Retail.

In New York trading, shares in Missfresh slipped to red territory early Thursday, but recovered to $4.19 per share in the afternoon, closing nearly flat.

CapitalWatch Disclaimer

All information contained herein as well as on the CapitalWatch website is obtained from sources believed to be reliable but not guaranteed to be accurate or all-inclusive. All material is for informational purposes only, is only the opinion of CapitalWatch and should not be construed as an offer or solicitation to buy or sell securities. The information includes certain forward-looking statements, which may be affected by unforeseen circumstances and/or certain risks. This report is not without bias. CapitalWatch received remuneration for this report. Please consult an investment professional before investing in anything viewed within.


Topics:
Missfresh, MF, China