👉 Background: Milkrun is the 10-minute delivery grocery start-up that raised $86 million of venture capital funding. It went down in flames earlier this year when the tech markets weren't willing to invest more.

👉 What happened: Now, Milkrun has announced that it's back...kinda. Woolworths has acquired Milkrun for a reported $10 million. It will rebrand its existing Metro60 delivery service as Milkrun. But there are a few catches:

• It won't have to a 10-minute delivery, but instead it will have an average delivery time of 33 minutes.
• It won't have its riders as full time employees, and will use third-party couriers instead.

👉 What else: So effectively, Woolies is using the Milkrun brand and customer base to rebrand its Metro60.

What's the key learning?

💡 A strong brand can transcend a company's product or services. When a company builds a strong brand, it can develop deep connections with its customers that often leads to loyalty and increased customer lifetime value.

💡Even though Milkrun failed as a business, its brand and reputation had enough value to be an attractive asset for Woolworths.  

💡The same thing happened to Polaroid, the iconic instant-camera brand: it filed for bankruptcy due to the rise of digital photography. But thanks to its strong brand image and the nostalgia associated with its products, it was acquired by a group of investors.

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