Is HelloFresh still blooming?

By
Elsie Bernaiche
,
Account Executive at ThoughtLeaders
May 28, 2020

HelloFresh is the largest meal-kit provider in the United States, and also has operations in Canada, Western Europe, New Zealand and Australia. They focus heavily on health and nutrition and present themselves as somewhat of a diet program where people can be guaranteed to order healthy foods at the correct proportions, making clean eating possible on a dime in no time at all. 


Youtube: 6063 mentions from 559 Thought Leaders

Podcast: 2484 mentions from 397 Thought Leaders

Newsletter: 70 mentions from 34 Thought Leaders

Blog: 20 mentions from 13 Thought Leaders


They’re clearly dominating Youtube, but they also have a solid podcast strategy that they've been investing more money in over time. It’s not surprising that they’re being talked about in the food category of content, but lifestyle is an equal contender in the spaces they’re sponsoring. Sponsorship is clearly driving not only short-term interest in their products, but the influencers they’ve chosen are creating long-term customers for HelloFresh, which explains why they’ve repeated sponsorships on so many key health and lifestyle podcasts and YouTube channels. 


We can see how well they drive short-term and long-term results in this particular example. They’re offering $40 off the first box for a discounted price of $19.94. This is really nice because they’re not directly mentioning their subscription fees. Subscriptions historically don’t do as well in sponsored content as the promotional offer because many consumers are gunshy to getting ripped off with cancellation fees relating to subscriptions. This is a really smart way to get people to click-thru for a discounted price and also gain traction towards the subscription on the landing page: 


In fact, this sponsorship has worked SO well that they’ve sponsored Designer Jen over 1000 times in the past 2 years alone, as recently as 6 days ago. Now THAT’S a strong content creator relationship - kudos to HelloFresh. 


They have an amazing track record in sponsorship, actually, starting their influencer marketing journey in March 2014. Whereas we are seeing a ton more YouTube in the recent months, they actually started out on podcast. 



They continued to sponsor this channel until 2017, but they definitely transitioned away from testing both podcast and the gaming content category in general. Still, it’s really interesting to see that they have thoroughly tested many of their content creator partnerships, because they continued on this podcast gaming channel 4x in 2014, a few more times in 2016-17. Most unsuccessful channels are not tested more than 3 times, so HelloFresh can be used as an EXCELLENT example when analyzing channels for success. 


How well do its competitors stack up? Blue Apron is probably more of a household name than HelloFresh at this point. 


Blue Apron


Interestingly, Blue Apron has dominated podcasts much more than HelloFresh, although they both seem to have an equal YT presence. That’s probably due to the exclusivity agreements each company has where the podcaster or YTer cannot feature ANY OTHER meal kit brands on their channels. 


In a keyword search of healthy foods, nutrition, and dieting, HelloFresh has both more mentions and more thought leaders than Blue Apron. That definitely can explain why Blue Apron has moved away from sponsorship in the past year: they clearly have not figured out what type of content and which types of influencers best drive sales of their meal kit service. HelloFresh has nailed down food and dieting/health lifestyle influencers and they know YT is the #1 way to drive sales right now. 


In summary, HelloFresh is showing that YT sells meal prep kits, especially if you leverage food influencers. All in all, meal prep kit brands have realized that podcasts are not the ideal format to promote food delivery, with almost all competitors of HelloFresh preferring YT. 


HelloFresh is continuing to scale out this strategy, which presents a huge threat to other meal kit providers. Remember, they require exclusivity with their partnerships, so the more channels they test and win on, the less available inventory there is for other meal prep kit brands. 


HelloFresh should be commended for their 26.88% average successful testing rate. From our analysis, there are 52 GO TO MARKET channels for other health and food-related brands. 


As for what’s remaining for their competitors? HelloFresh is testing like crazy, but we’ve still identified about 371 channels that would be a winner that they haven't’ gotten to yet.


There’s clearly a race to the top - talk with us, we have the playbook to help you dominate the market share!