Woolworths ups artificial intelligence game with UK’s Spoon Guru

Woolworths is strengthening its footing in artificial intelligence, investing just over $4m in a London-based start-up called Spoon Guru.

Woolworths is looking to enhance its use of technology. Picture: Sue Graham

Woolworths is strengthening its footing in artificial intelligence, investing just over $4m in a London-based start-up called Spoon Guru, giving it an 8 per cent stake in the business.

Co-founded in 2015 by Markus Stripf, Tim Allen and Simon O’Regan, Spoon Guru has launched in Britain with a partnership with leading supermarket player Tesco, where it helps shoppers searching for individual dietary preferences.

In 2018, Spoon Guru partnered with Woolworths to support its own health ambitions in Australia and New Zealand and since then it has secured further heavyweight retail partnerships in The Netherlands and the US.

The equity investment in Spoon Guru, made through Woolworths venture capital arm W23, is the first time a retail customer of the AI start-up has decided to become an investor.

Spoon Guru said it would use the fresh equity investment to fuel product innovation in store and online.

Through the combination of AI and machine learning with nutritional expertise, Spoon Guru enables food retailers to deliver personalised experiences to each customer based on their dietary, health and wellness needs.

Spoon Guru co-founder Mr Stripf said with governments worldwide launching campaigns to tackle obesity and related lifestyle diseases, consumers were thinking about how food affected their health and wellness.

“There is a desire from shoppers for healthier choices, and with a significant swing to online shopping, grocery retailers have the opportunity to use technologies like Spoon Guru to drive and scale healthier baskets. It is our mission to provide retailers with the tools they need to ensure healthier food discovery, thereby improving basket sizes and values and in turn driving customer loyalty and growth for our partners. The funding will ensure we can further develop our product suite and expertise in driving towards this goal.”

Woolworths established W23 in 2019 to partner with innovative start-ups.

Managing director Ingrid Maes said: “Our investment in Spoon Guru fits perfectly into our portfolio of strategic partnerships with game-changing start-ups that are helping to shape the future of online retail.”