Founder and CEO Rachel Drori talks candidly about the cost of adding compostable containers, and why she’s moving ahead despite the hit to her company’s margins.
Rachel Drori founded Daily Harvest in 2015 with a mission of providing organic, fruit and veggie-packed foods for people on the go. The company today is announcing new packaging that aligns with its “clean” ethos: Starting in April, its containers will be home and commercially compostable. It will first roll out the new packaging in its harvest bowls, soups, oat bowls, and chia bowls. (The company is also resizing some of its products; harvest and soup bowls will grow to 150% of current size, while the chia and oat bowls will be reduced to about 75% of current size.) Though privately held, Daily Harvest is often noted for its celebrity investors—Serena Williams, Bobby Flay, and Gwyneth Paltrow are all backers—Drori bootstrapped the business in its early days, personally delivering smoothies in New York before taking the business national, in 2016. She spoke with Fast Company about her mission to provide healthy food and sustainable packaging, and how self-funding her company set the tone at Daily Harvest. Edited excerpts follow: