Amid its latest stock struggles, Blue Apron announced on Tuesday that it is revamping its leadership team.
The home delivery meal-kit company said in a statement that co-founder Matthew Wadiak would be stepping down as chief operating officer to become a senior adviser to Blue Apron.
“Matt Wadiak has played an instrumental role in driving forward Blue Apron’s mission to make incredible home cooking accessible to everyone,” said Matt Salzberg, Blue Apron CEO said in the statement. “His contributions to the company have been immeasurable and we thank him for his unwavering dedication over the past five years.”
Tim Smith, the company's vice president of supply chain, has been named senior vice president and general manager of consumer products, a newly created role overseeing efforts to personalize and expand offerings for customers. He will report to Salzberg.
“We believe this will enable us to cater to more households, and in turn expand our community of passionate home cooks,” Smith said in a statement.
In addition to Smith, Blue Apron said Pablo Cussatti, a senior vice president of operations who formerly worked with the likes of Campbell Soup and PepsiCo, would also now report to Salzberg.
Since its initial public offering in late June, Blue Apron has struggled to gain momentum. Its shares opened at $10 on the New York Stock Exchange and they have yet to finish a day trading above the same mark. On Wednesday, Blue Apron's stock finished the day at $7.50.
Some analysts have been skeptical with the company's stock, expressing concern about the costs of recruiting customers to try the service and then finding ways to keep them. The company's prospects have also been further clouded by Amazon.com's announcement that it planned to buy the organics and natural food giant Whole Foods, and the online giant's effort to pilot a meal-kit business of its own, (Amazon chief executive Jeffrey Bezos also owns the Washington Post.)
On Monday, a handful of analysts at investment firms that underwrote the IPO initiated coverage of the stock with a “buy” rating.