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When Saying No to Customers Became Coldcart’s Best Growth Strategy

Most startups obsess over customer acquisition. Jason Park did the opposite. As CEO of Coldcart, a perishable ecommerce fulfillment platform, he made a counterintuitive decision that kept investors up at night: deliberately limit growth for an entire year.

The stakes were high. Companies shipping frozen and refrigerated products lose between 5-10% of their sales to spoilage and late deliveries. For context, that’s not just lost revenue—it’s angry customers who never come back. Jason quantified this pain: “The customer lifetime value impact of one late order is anywhere from three to seven future orders.”

But instead of rushing to capture market share, Coldcart’s team built in silence.

The Problem: Where E-Commerce Meets Survival

The perishable parcel market is massive and growing fast. Jason explains: “Last year there were 3 billion of these parcels shipped in the US, and that number is expected to grow to 9 billion by 2032.” Yet this category has been consistently overlooked, falling through the cracks between traditional supply chain technology and cold chain logistics.

The technical challenge is brutal. Unlike standard shipping where you optimize purely for cost, perishable parcels require solving for two competing variables simultaneously. “You can’t just lower costs. You have to solve for cost and spoilage at the same time. And the more you improve one, the worse the other one gets,” Jason notes.

This creates an impossible situation for brands. They can’t simply spend their way out of the problem. Even the largest companies in the space struggle with this fundamental trade-off, often forced to throttle their own growth because the economics don’t work at scale.

The Insight: Network Effects in Physical Logistics

Coldcart’s breakthrough came from recognizing that perishable shipping needed the same transformation that cloud computing brought to tech infrastructure. Jason’s background consulting for tech companies during the AWS revolution shaped this insight: “The transition from having giant physical server boxes and data centers that companies didn’t really understand…to a world in which we sign up for an Amazon Web Services AWS account and all that centralized in a way that’s more efficient than any of these individual companies can achieve on their own.”

The key innovation? Network effects that only work across multiple companies. Jason illustrates: “1000 companies shipping frozen product in New York City shipping via UPS…UPS is running 85% on time delivery. That’s fine. No alarm bells are going off, no one’s concerned. But those thousand companies are all refunding 15% of their sales because as soon as it delivers late, it’s dead.”

Through Coldcart’s platform, when one company experiences a carrier issue, the system automatically reroutes shipments for all other companies in real time. “For 998 of those companies, their refunds go from 15% to 2%,” Jason explains. This type of optimization is impossible for individual companies to achieve, regardless of size.

The Go-to-Market Gamble

Here’s where Jason’s strategy diverged from conventional startup wisdom. Most founders are told to ship fast, get feedback, and iterate. Jason did the opposite.

“The most important go to market decision we made was almost to not go to market as much in the beginning,” he reveals. The reasoning was rooted in the category’s brutal reality: “When we talk about things like minimum viable product, in traditional startup parlance, the bar for minimum viable product is very high in this space.”

Coldcart operated in paid beta with just three to four customers at a time, building true capabilities while powering real shipments. This restraint drove Jason to question himself constantly: “Why not seven customers? Why not ten customers? Why not 15 customers…that’s the type of question you sort of wake up in the middle of the night and really agonize about.”

Every board meeting brought the same question from investors about hiring salespeople and accelerating growth. “They understood it, but I could tell it’s one of those where I understand it, I believe the argument, but, boy, I wish we were not just doing it the way I’m used to.”

The Payoff: Enterprise-Grade from Day One

The patience paid off. By incurring technical debt upfront rather than accumulating it through rapid growth, Coldcart emerged with industrial-strength infrastructure. “Our product will not be the reason that we cannot grow like it happens with many companies just because you kind of move fast and you got to make some technical compromises and those come back to bite you in meaningful ways later,” Jason explains.

This approach created a compounding advantage. Companies entering this space face an unusually high trust barrier—brands need absolute confidence before letting a platform control their fulfillment process. By taking time to build properly, Coldcart earned that trust systematically rather than rushing to scale and risking catastrophic failures.

The Market Opportunity: Beyond Food

While meal kits and meat subscriptions grab headlines, Jason sees the market differently. The addressable market splits roughly into thirds: food, pharmaceuticals, and industrials. “Pharma and industrial are actually meaningfully larger than food,” he notes.

The pharmaceutical opportunity is particularly compelling due to its inelastic demand and regulatory complexity. The industrial category—chemicals, polymers, solvents—represents massive volume with mission-critical stakes. Combined, these categories represent $76 billion in annual spending on warehousing, shipping, and packaging for perishable parcels in the US alone.

The Vision: Economic and Environmental Impact

Jason’s three-to-five-year vision extends beyond financial metrics. By reducing fulfillment costs by double-digit percentages, Coldcart can open entirely new market segments. “You cannot go after that market. You cannot serve that market because your minimum price point is $60 an order. But the more you can bring that down…you start to open up these new categories.”

Environmental impact compounds naturally from the business model. Coldcart reduces packaging waste by up to 20% by optimizing for actual shipping conditions rather than worst-case scenarios. “Traditionally, you can’t change your SOPs. You can’t change your fulfillment process on every shipment…so you pick a packaging configuration, you stick with it.”

As Jason puts it: “If we just do our jobs, we will create financial benefits and we will create social, environmental impacts and benefits. And so that’s the nice part about doing this job.”