Fridge No More, a startup that offered fast delivery with no fee regardless of size order, told employees this week that it was shutting down after a deal with a potential buyer fell through.
The closure was the second in the span of a week by an ultra-fast delivery service in New York City after failing to secure a deal or financing, leaving hundreds unemployed.
After the pandemic made on-demand delivery startups a lifeline for many Americans, the New York City landscape became crowded with startups offering ultra-fast deliveries. Fridge No More launched in October 2020, followed by competitors Jokr, Gorillas, and Buyk, which came in September 2021. A month later, Philadelphia-based GoPuff entered the city, followed by Istanbul-based Getir in December. Their fight for consumers brought rich discounts and splashy marketing, but the long-term potential of the business model remains unclear.CNN