This billion-dollar startup is taking on big box retailers by going green
An online subscription startup is raking in the green, by going green. Eco-friendly company Grove Collaborative just surpassed a $1 billion dollar valuation after raising $150 million in its Series D round. The household cleaning products and personal care company is aiming to shift consumers’ habits from in-store to online, by offering brands that are better for the environment.
“There really is this amazing moment as the category transitions from offline to online, where the consumer can be better educated about the health and sustainability impact of the product that he or she is bringing into their home,” Stuart Landesberg, Grove Collaborative CEO & Co-Founder, told Yahoo Finance’s YFi PM.
One of Grove’s in-house brands is an ultra-concentrated laundry detergent, which the company says slashes plastic waste by 80%, compared to a typical 40-ounce laundry detergent. The smaller packaging also results in cheaper shipping costs and a lighter environmental footprint.
“We try to bring a little bit of that education to consumers and in doing so, help them transition to products that are often-times better for them, more sustainable, and lower cost as well. There’s some business model innovation that I think is only possible because we go directly to the consumer,” said Landesberg.
The San Francisco-based unicorn predicts its customers will save almost 1 million pounds of plastic this year from using the sustainable packaging products offered on the site.
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McKenzie Stratigopoulos is a producer at Yahoo Finance. Follow her on Twitter: @mckenziestrat
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