Please ensure Javascript is enabled for purposes of website accessibility

Why Blue Apron Holdings Inc. Stock Was Moving Higher Today

By Jeremy Bowman – Updated May 14, 2018 at 4:01PM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Shares were climbing as the meal-kit service announced another brand promotion.

What happened

Shares of Blue Apron Holdings Inc. (APRN 3.02%) were gaining today as the company announced a new promotional program with a series of national pop-up events, its latest attempt to gain traction for the brand after a botched transition to a new distribution facility caused it to lose customers last year.

As of 3:02 p.m. EDT, the stock was up 5.1% on the news.

A Blue Apron box with various fresh ingredients like lettuce, red peppers, and onions

Image source: Blue Apron.

So what 

As part of a program it's calling "Unboxed," Blue Apron is offering a range of pop-up events like cooking classes, movie nights, and panel discussions with chefs. The move is the company's first attempt to extend the brand from the home to experiential events in cities like New York, Los Angeles, Minneapolis, and Austin. 

The announcement follows similar promotional moves such as when the company said last week that it was partnering with model and cookbook author Chrissy Teigen to include some of her recipes in its meal kits over a six-week period, and earlier this year when it partnered with Airbnb to feature recipes developed by local chefs who are also offering Airbnb Experiences.

"Unboxed" is also reminiscent of Chipotle's annual Cultivate Festivals, where the burrito chain holds events that include concerts, food trucks and tastings, and talks about food and sustainability in order to promote the brand.

Now what 

While the "Unboxed" promotion in and off itself is unlikely to have a meaningful effect on Blue Apron's financial results, it's another sign that the company is thinking creatively about its brand and how to win back customer mindshare. The stock has been highly volatile since its earnings report early this month so today's gains may just be a reflection of that rockiness, but investors should also be cheering such brand innovations as "Unboxed" because Blue Apron needs to do something to regain lost ground.

Jeremy Bowman owns shares of Chipotle Mexican Grill. The Motley Fool owns shares of and recommends Chipotle Mexican Grill. The Motley Fool has a disclosure policy.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

Blue Apron Stock Quote
Blue Apron
$4.44 (3.02%) $0.13

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning analyst team.

Stock Advisor Returns
S&P 500 Returns

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 09/25/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.