Online and mobile food ordering and delivery service OrderUp announced it raised $7 million in Series A venture funding led by Steve Case’s Revolution Ventures with participation from LivingSocial co-founder Tim O’Shaughnessy. The new investment will fund the acceleration of the company’s national growth plan and the continued development of its delivery technology and services. OrderUp will also open two new offices – the first in New York City, then one in Boulder, Colorado – to build out their development and marketing teams.
“Opening our second office in New York City will help OrderUp attract top marketing and development professionals, specifically with experience in the food delivery space,” said Chris Jeffery, the company’s chief executive officer. “The city is a short train ride away from Baltimore (the company’s headquarter) and hosts the great talent, has a thriving startup ecosystem, and is obviously known for its food.”
Revolution Ventures managing partner, Tige Savage, will join OrderUp’s board of directors, along with Chris Brandenburg, co-founder of Millennial Media.
“We go well beyond just a list of restaurants that already deliver, and we’re doing that by giving restaurants premier tools and services so that their customers can order delivery online and on mobile devices,” Jeffery continued. “We can help restaurants, whether they’ve delivered for years or haven’t even thought about it. That means access to more delivery options and a more transparent ordering experience for consumers.”
The company’s biggest growth opportunities are with restaurants that have existing delivery operations but need better logistics technology, and those who see the cost benefit of partnering with OrderUp’s fleet of drivers.
Since launching the company in 2009, co-founders Chris Jeffery and Jason Kwicien have expanded the business into 35 markets and fulfill more than 10,000 food deliveries per week – a small percentage of their total weekly transactions. Technology companies like OrderUp continue to fuel the on-demand economy, and OrderUp will provide those living in towns and small cities the same opportunities for convenience that consumers in big cities get to experience. With the new financing, the company will focus on launching in additional markets that are underserved by food delivery service companies, and invest in enhancing its delivery technology and service.
We certainly welcome the company’s expansion to New York, especially since they’ll be delivering more jobs to our local ecosystem.