News

Online grocer Farmstead expanding into Carolinas

Photo courtesy of Farmstead.

September 20, 2019

Online grocer, Farmstead, is expanding into the Carolinas as part of a partnership with Southeast grocery company, Alex Lee, which is the parent company of grocer, Lowes Foods, and grocery distributor, Merchants Distributors.

The partnership will allow both Alex Lee and Farmstead — which began in the San Francisco Bay area — to expand their customer base without having to open any brick-and-mortar locations, according to a press release.

Farmstead will open multiple microhubs in the Carolinas, which can be built in less than two months for under $100,000 and serve a 50-mile area.

"When we learned about Farmstead’s microhub approach, we recognized it would be a great model for expanding into new geographies where we don't have physical stores," said Kimberly George, vice president, communications and corporate citizenship, at Alex Lee, in the release. "This partnership will help improve the reach of Alex Lee in the Carolinas, and boost revenue with little risk. We’re excited to be the first to partner with Farmstead on this innovative approach to grocery."