Melbourne startup YourGrocer acquires Aussie Farmers Direct brand

Acquisition strengthens the battle against supermarket duopoly of Coles and Woolworths for a fairer Australian food ecosystem

Melbourne grocery delivery startup YourGrocer has acquired the Aussie Farmers Direct brand and customer database, aiming to make Aussie Farmers Direct products available to customers of both businesses.

Aussie Farmers Direct was placed in to administration in March this year after a failed effort to sustain its franchisee model. At the time the business was delivering Australian produce to more than 45,000 customers weekly. YourGrocer founder Morgan Ranieri said the deal will strengthen his fight against Coles and Woolworths in the rapidly expanding online grocery business.

"From our founding in 2013, YourGrocer has always stood for a fairer Australian food ecosystem," said Mr Ranieri.

"This is a belief shared by Aussie Farmers Direct, and so bringing these two brands together only strengthens our mission to support local businesses while also supporting Aussie farmers”.

Mr Ranieri said Australia had the second most concentrated supermarket industry in the world, behind only New Zealand. The combination of YourGrocer and Aussie Farmers Direct will see the Australian startup offering a larger range than both Coles and Woolworths combined.

The deal was brokered by administrators KordaMentha, and was finalised last week. YourGrocer will be making Aussie Farmers products available through its website yourgrocer.com.au as soon as possible.

The Aussie Farmers customer database will be sent to YourGrocer, after a one week period during which customers may opt-out.

Recognising that many Aussie Farmers Directs franchisees were left empty-handed after the business entered administration, YourGrocer has reached out to explore ways in which they can work together as the business grows.

About YourGrocer

YourGrocer is an online grocery business on a mission to make it easy for people to buy from their favourite local shops. YourGrocer members get access to unlimited, free delivery on orders over $60 and can order from multiple local shops in a combined same-day delivery. YourGrocer’s mission is to deliver amazing food experiences for customers, whilst creating a fairer food system in Australia.

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