Grocery technology company Afresh has raised $34m in new funding as it looks to accelerate the adoption of its AI platform across the industry.
The business said it will use the funding to expand deployments with retail partners and further develop its next-generation AI tools.
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The investment comes as grocers seek to improve margins and reduce waste in a market where an estimated 30% to 40% of food is lost across the supply chain.
The funding round was co-led by Just Climate, part of Generation Investment Management, and High Sage Ventures, and saw participation from existing backers.
Afresh CEO and co-founder Matt Schwartz said: “The decisions AI makes in grocery aren’t about optimising pixels on a screen – they’re about physical products with shelf lives measured in days, moving through a supply chain that feeds billions of people.
“Our platform orchestrates those decisions at scale, so buyers, store teams, and merchandisers can spend less time on routine execution and more time on the strategy and judgment that drive outcomes.”
Afresh is expanding its AI platform across more than 12,500 departments in 40 states across the US.
It said that it recorded 70% year-on-year revenue growth in 2025, alongside wider uptake of its technology in grocery retail operations.
Its software is designed to help retailers make decisions in fresh and perishable categories, where inventory management is often challenging due to short shelf lives, shifting demand and limited data visibility.
Afresh has also broadened its offering beyond fresh food, developing a wider enterprise platform spanning centre store, frozen lines and general merchandise.
Available tools include store-level ordering, production planning, distribution centre purchasing and supply chain optimisation.
According to the company, retail customers include Albertsons Companies, Meijer and Wakefern.
Afresh added that its platform has delivered operational improvements, including shrink reduction of up to 25%, a 3% increase in sales and a 7% improvement in inventory turns.
Company data also indicates that more than 60% of its lifetime order volume was processed in the past 12 months, as retailers move from pilot schemes to broader AI deployment across stores and supply chains.
Generation Investment Management director Libby Spalding added: “Afresh’s AI platform strengthens the demand signal at the retail and distribution centre levels, which have outsized upstream consequences. The results mean stronger margins for retailers and lower emissions for the system.”
