Formation 8 backs Singapore grocery delivery service

Honestbee employs part-time shoppers at affiliated grocery stores to fulfill customers' online orders and drivers to deliver the purchased goods, aiming to satisfy orders within one hour after they are placed. The company launched in Singapore in August and in Hong Kong in October, and plans to enter six more major cities, in markets including Taiwan and Japan, by next June, according to a statement.

In addition to groceries, Honestbee offers delivery from some specialty retailers such as pet supply stores. The company describes its model as much in social terms as commercial, emphasizing the benefits of employing people as shoppers who need the flexibility of part-time work, such as stay-at-home parents and students.

Honestbee's affiliate store-focused approach contrasts with that of fellow Singapore grocery start-up RedMart, which maintains its own storage and logistics infrastructure. RedMart has raised $54 million in venture funding since its 2011 founding, including a $26.7 million bridge round in August, a $23 million Series B round in 2014 and a $4.6 million Series A round in 2013.

Formation 8 is headquartered in San Francisco, and has offices in Palo Alto, Seoul, Singapore and Shanghai. Asia-based portoflio companies include Korean mobile media provider Yello Mobile. It launched a fund in June, with a target of $400 million, to support Asian start-ups with plans for global expansion.

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• Topics
• Southeast Asia
• Consumer
• Technology
• Early-stage
• Expansion
• Venture
• Singapore
• Southeast Asia
• Consumer
• Formation 8
• TMT
• Growth capital
• Venture