Did Munchery juice their numbers before fundraising?

In the months before their Series C, Munchery acquired a large number of low-quality customers. While this doubled their customer base, revenue increased just 30%.

revenue customers

The impact on Munchery's numbers was profound:

  • Monthly revenue per customer dropped from $75 to $53 revenue per customer
  • Month-over-month retention dropped from 56% to 38% retention

Comparing the newly-acquired customers to prior cohorts:

  • First-month spend dropped from $45 to less than $25 lifetime spend
  • One-month churn increased from 65% to nearly 80% one-month churn

Check out Munchery's latest numbers or see how other businesses are changing by requesting access to Second Measure.