First Bite modernizes foodservice trade spending with digital rebate platform for manufacturers

By  Agroempresario.com 

In an effort to disrupt what it calls the “dark ages” of foodservice trade spending, startup First Bite—founded by former Impossible Foods executive Reed McCord—has developed a digital rebate platform designed to bring transparency, speed, and strategic impact to food manufacturers operating in the fragmented and opaque foodservice channel.

Food manufacturers typically pour billions into trade spend annually—offering discounts and incentives to boost sales—but much of it is still managed through clunky manual systems: paper forms, PDFs, and spreadsheets. This outdated approach results in long delays, data silos, and missed opportunities to optimize return on investment.

“There’s a lack of attribution, no visibility into end-customer purchases, and settlements that can take months,” says McCord, who launched First Bite in 2023. “Distributors hold most of the data, and manufacturers often don’t know who’s buying their product, why they’re buying it, or how their programs are actually performing.”

To address this, First Bite’s digital rebate platform allows manufacturers to create and deploy precise offers directly to decision-makers at over 1.5 million U.S. foodservice locations, including restaurants, hotels, schools, healthcare facilities, and more. Unlike the traditional structure dominated by group purchasing organizations (GPOs), the platform enables targeted sales activation and direct communication with buyers.

“For manufacturers, GPOs and legacy trade systems function more like a tax than a growth lever,” says McCord. “We’re giving brands the tools to run performance-based programs with measurable impact, using real-time insights.”

Using a modern SaaS (software as a service) approach, First Bite integrates market intelligence such as online menus, geolocation, social media analytics, and demographic data to identify and qualify leads. Users can filter by region, cuisine type, traffic level, and even menu item preferences to launch custom campaigns—directly from within the platform.

Manufacturers can now:

• Build and launch rebate offers in minutes
   
• Deliver them directly to operators
   
• Monitor redemptions, attribution, and performance via a live dashboard
   
• Pay incentives in days, not months
   

With over 50 manufacturers managing $800 million in foodservice commerce on the platform, First Bite has rapidly gained traction since emerging from stealth in early 2024 with $2 million in seed funding. Since that funding round, revenue has grown sixfold, according to McCord.

The platform is especially attractive for CPG companies that want direct influence over foodservice performance. “Retail has 500 key buyers. Foodservice has a million decision-makers,” McCord explains. “You can’t grow without solving that complexity.”

In addition to its rebate functionality, First Bite includes a fully integrated CRM with contact data, lead-scoring tools, and marketing automation features. “Let’s say you want to target every taco-serving restaurant in Colorado with a strong Instagram presence,” says McCord. “First Bite helps you find them, identify the buyer, send an offer, and track the sale. It’s end-to-end growth infrastructure.”

The system also supports loyalty strategies. Brands can identify existing operator customers and reward them for repeat purchasing—driving retention, not just acquisition.

As McCord puts it, “This isn’t just R&D—it’s activation. The idea is to remove the lag between trade strategy and market execution.”

Notably, much of First Bite’s growth has come organically. “Most of our business has come through word of mouth,” says McCord, who adds that the company is already approaching profitability. He sees a major opportunity in replacing slow, analog systems with intelligent, digital ones built for speed and accountability.

With legacy foodservice workflows crumbling under their own weight, First Bite is showing that precise, performance-based marketing—fueled by data and real-time feedback—can replace guesswork and generic discounts with targeted offers that actually drive business.

As food brands continue to seek smarter, scalable solutions to reach fragmented buyers, First Bite offers a glimpse of a more connected, efficient, and measurable foodservice future.