Mar 18 • 09:33 UTC 🇬🇧 UK Guardian

HelloFresh hit by sales slump as people lose appetite for meal kits

HelloFresh has reported a significant drop in sales, reflecting a decline in demand for meal kits post-pandemic.

HelloFresh, the German meal kit delivery service, is facing serious challenges as it reports a notable decline in sales. The company experienced a dramatic drop of over 11% in revenue during 2025, prompting it to make substantial job cuts in the UK, including the closure of a delivery site in Nuneaton. This slump in sales highlights the shift in consumer behavior as demand for meal kits struggles to sustain the peak growth witnessed during the lockdowns when meal delivery was a popular solution for staying at home.

The downturn in sales can be attributed to various macroeconomic uncertainties and a strategic decision by HelloFresh to focus on a smaller, more profitable customer base. Although the company had projected optimistic revenues of €10 billion by 2025 amidst the pandemic, the reality has been starkly different; HelloFresh's turnover reported last year was only €6.8 billion. This reflects a broader trend in the food delivery industry where competitors like Gousto and Mindful Chef are also grappling with shrinking markets as consumer habits shift away from convenience meals.

Additionally, the financial health of HelloFresh has taken a severe hit, with its market value plummeting, and shares down by 93% since their peak in 2021. As more consumers lose interest in meal kits, HelloFresh and its rivals must navigate a challenging landscape, re-evaluating their strategies to adapt to changing demands and economic realities, lest they suffer further losses in the increasingly competitive food delivery sector.

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