A new brand is poised to enter the organic and natural food world, but this one won’t grace the shelves of the likes of Whole Foods (WFM, -0.20%)—the mecca for the non-GMO, the gluten-free, and the Paleo.
The new entrant is the private label from Thrive Market, the online natural and organic retailer, which will sell its eponymous brand only on its site.
Thrive’s first private label product, coconut oil, launched in November; its second, organic tomato sauce, hit the online marketplace December 30. Thrive co-founder and co-CEO Nick Green told Fortune that the company plans to develop about 100 private label items in the first half of the year.
The entry into private label is the latest step for Thrive as it attempts to offer natural and organic goods at the price of the conventional non-organic equivalent. “If we can’t do that with a third-party brand, we’ll do it with private label,” Green says.
Thrive prices products to only cover the company’s costs to fulfill and ship, instead making the bulk of its money through a subscription model. The company charges a $60 membership fee, pegged to the cost of a Costco membership. “It’s Whole Foods-type products at Costco-like prices,” Green adds.http://fortune.com/2016/01/04/costco-whole-foods-startup-thrive-market/