Envirotech startup “born global” path
Innovation through efficient business model and effective marketing strategies
One of the key mission for a company is to offer its value globally. Is it not what the companies create? The Value. Let us explore the case of brilliant Danish Envirotech startup Too Good To Go and their path to distribute and improve their value globally.
Too Good To Go is a startup created in Denmark in November 2015 by the CEO, Mette Lykke, and from inception aims to positively respond to the staggering statistic that one-third of the food produced on in the world is wasted. It is headquartered in Copenhagen.
It is a tech company as the company is a provider of a technological platform designed to reduce food waste. Their platform or application connects shops for their unsold items at the end of the day and users who want to recover these unsold items at reduced prices.
Many food chains worldwide have tried in different ways to deal with their unsold items but have failed. Some of the reasons might have been inefficiencies, not being core of their activities and difficulties to create an offer and reach consumers. Too Good To Go has been capable to create an efficient business model and connect a global community of food waste conscient consumers through enabling shopkeepers and these consumers both to reduce the wastage of food items. And they made it to look cool and appealing for younger generation.
Their tribal marketing style is built around their strong community of “waste warriors” with all needed recipients for success such as the passionate leader, the common and clear values, the movement, the distinctive signs, the actions etc.
Their success is splendid and in May 2019, they have published on their LinkedInPage: “This week is yet another week for celebration! We have reached an amazing milestone of more than 10.000.000 registered users to our platform. During the last year, our mission has been joined by no less than 6.500.000 new users to our platform showing an absolutely massive support to our cause – and proving that our hard word everyday pays off.”
Food waste problem
According to the FAO and World Economic Forum, per capita food waste by consumers in Europe and North America is around 95-115 kg per year, compared to just 6-11kg in sub-Saharan Africa and South/South-East Asia. As well, wastage at the consumption stage is much higher in the developed nations. It is understandable thus the choice for Too Good To Go to start their development in the developed countries.
Using Prime Target’s tools for social media analytics for countries of presence or interest for the company, we have noticed that during July #toogoodtogo keyword were trending on Twitter significantly and largely in France, Germany, Netherlands, United Kingdom (left image). To compare, we have analyzed the search results for #wastefood and the main countries with significant result searches are United States, United Kingdom and Canada (right image).
Global presence and ambitions
Too Good To Go remains mostly an international project. In 2019, the platform exists in 11 countries such as in Germany, France, Switzerland, the United Kingdom, Denmark, Spain, Belgium, Holland and Norway. Their new additions to the family during 2019 are Italy and Poland. The company operates through 270 official partners “waste warriors” which are network of independent companies in each country. This model allows them to have agility, distribute costs and strong adaptation to local cultures.
The global growth does not stop and from various sources the company is preparing for the North American market and it announced on its LinkedIn page in July 2019 that it is going to present its business model to Brazil.
Case studies on successful companies to go global are our way of saying to our community “You can make it”. Hope you find this case useful and if so, share this article to inspire and give ideas to the community on global entrepreneurs.