Misfits Market, the e-grocer that specializes in discounted produce, has launched a new membership program known as Misfits+/Imperfect+ (M+). For an annual fee of $69, members gain access to exclusive discounts, reduced shipping fees, and additional perks that aim to enhance the customer experience while contributing to philanthropic efforts. This bright innovation exemplifies a strategic effort to add value in an increasingly competitive e-commerce landscape.
The membership program features an updated “Deals” aisle that refreshes weekly, offering savings of up to 50% on various items, including highly popular produce and private label products under the Odds & Ends brand. As food prices remain high, especially in the current inflation environment, M+ addresses consumer demand for cost-effective shopping solutions, effectively allowing members to make the most of their grocery budget.
As Abhi Ramesh, CEO of Misfits Market, told Progressive Grocer, the program was created out of a desire to provide additional value to customers. Ramesh further explained, “Over the years, we’ve expanded the assortment and delivery areas and sharpened our pricing. The introduction of the membership program was one way for us to enhance that value proposition.”
For customers who frequently order from Misfits Market, the annual fee can pay off swiftly. According to Ramesh, a typical customer who places just one order per month can recoup the membership cost, making the program appealing for regular shoppers. In addition, M+ members enjoy the benefit of lower shipping rates, including free shipping for those within Misfits Market’s first-party delivery networks, without an order minimum.
Ramesh emphasized that the membership fee is not just a cost; it is reinvested into customer benefits. For instance, it helps subsidize further discounts on popular items and supports lower shipping costs. This reflects a model adopted by other successful membership-based businesses, such as Costco and Amazon Prime, wherein consumers typically increase their purchase frequency once they have invested in a membership.
Perhaps the most compelling element of the Misfits+ membership is its social impact. With every order placed, 25 cents is donated to Feeding America, a commitment that resonates with socially conscious consumers. Notably, 90% of these donations are directed back to local communities, fostering a sense of connection and responsibility within the membership model.
While the M+ program has just launched, its initial feedback has been overwhelmingly positive, prompting Misfits Market to consider expanding options in the future. Ramesh hinted that a monthly payment plan could be introduced, making membership even more accessible.
Additionally, the program is in alignment with the broader strategic vision of the company, which includes a focus on category expansion and the introduction of more private-label products. Misfits Market has successfully broadened its product offering to over 1,000 items, encompassing not just produce but also meats, seafood, deli, dairy products, and pantry staples. Such diversification illustrates the company’s intent to cater to a wider consumer base, while also appealing to trendy dietary preferences through options such as emerging brands that prioritize health and sustainability.
Another uniquely positioned aspect of the company’s strategy includes insights derived from consumer input. Regular user surveys and product demand data guide product assortments and innovative directions, aligning offerings with customer expectations. This careful attention to customer feedback reflects a commitment to being responsive in a fast-changing market.
Moreover, the acquisition of Imperfect Foods has brought operational efficiencies that enhance the customer experience. With access to new fulfillment centers and a logistics fleet, Misfits Market is better positioned to deliver products efficiently and consistently. This acquisition has not only bolstered their infrastructure but has also reinforced their mission of reducing food waste and creating a more sustainable food system.
As Misfits Market continues refining the M+ program, the company is also making significant investments in its private label, Odds & Ends. Offering innovative products, including upcycled items co-branded with other vendors, showcases the company’s commitment to sustainability. For example, their collaboration with Pipcorn on upcycled onion twists illustrates a novel approach to production that leverages food waste into delicious snacks. With a growing portfolio that includes around 100 private label items, Misfits Market is undoubtedly focused on delivering value at a range of price points.
In conclusion, Misfits Market’s new membership initiative signals a significant evolution within the e-grocery sector. By integrating savings with social responsibility and a user-friendly approach, the M+ program stands to reshape customer engagement and redefine the grocery shopping experience in an era when value is synonymous with both cost and community.
