Gopuff is bringing over-the-counter health and wellness products directly to ailing customers with its new Goodnow private label, which launched Monday.
Goodnow is the Philadelphia delivery unicorn's latest foray into the private label space, following the rapid growth of its Basically line, which launched in January as the company's first owned brand. Gopuff, which has a $15 billion valuation, says Basically's sales have increased by more than 150% in the past six months.
Goodnow offers products like cold and flu medicine, as well as pain, stomach and allergy relief products. It also sells sleep aids and at-home diagnostic test kits for various infections. In the coming months, Gopuff plans to add more products to the line like electrolyte drinks, antihistamines and antacids.
The delivery platform sells traditional brands like Advil, Tylenol, Benadryl and Pedialyte, but the private label products will largely retail on the platform for a cheaper price than the name brands. For example, a 24-pack of Goodnow Day & Night Cold + Flu Relief 24 will sell for $8.99, compared to the same size Robutussin cold and flu relief product at $16.99. One hundred tablets of pain relief medication from Goodnow will sell at $9.99 compared to a similar Tylenol product at $13.99.
Gopuff, which has its headquarters in Callowhill, saw opportunity and demand in the health and wellness space. The company has posted a 130% increase in sales in the category this year following a 200% increase in 2021.
Jessica Glendenning, the company's director of private label, said that Goodnow is "an inherent fit for our customers and the Gopuff platform" with customers showing an increased interest in private label products.
"Health and wellness — an $80+ billion market in the U.S. — has been one of Gopuff’s fastest-growing categories," Glendenning said in a statement.
Gopuff's Basically line was its first owned brand, selling household products and groceries like purified water, paper towels, trail mix and popcorn. It also sells bundles of Basically goods.
The Goodnow launch comes less than a month after the Philadelphia tech company announced a partnership with Phoenix Suns guard Chris Paul on a plant-based snack food brand called Good Eat’n, which is only available through Gopuff.
Founded nearly 10 years ago by Drexel students Rafael Ilishayev and Yakir Gola, the platform has grown quickly since its inception but has scaled back in recent months. It reportedly laid off over 1,500 workers and closed dozens of warehouses over the summer.
Once said to be eyeing an impending IPO, Ilishayev told the Business Journal in September that the company is now targeting a return to profitability before it considers going public. He added that the company is looking to "maximize" and "build" on the assortment side, which Goodnow will do.
