Case Study Report Freshdirect

Topics: New York City, Grocery store, Manhattan Pages: 3 (961 words) Published: August 18, 2012
FreshDirect/ / Grocery

FreshDirect is an online grocer that delivers to residences and offices in the New York City metropolitan area. FreshDirect also offers next-day delivery to most of Manhattan and parts of Brooklyn, Queens, The Bronx, Staten Island, Nassau County, Westchester County, Fairfield County, Hoboken, New Jersey and Jersey City, New Jersey. The company was founded in July 2001 by Joseph Fedele and Jason Ackerman; FreshDirect pronounced to the New York area that it was “the new way to shop for food.” FreshDirect has had some problems through the years begin challenged by local grocery stores offering the same type of service and parking problems among a few.

Jason Ackerman is the current CEO of FreshDirect.

The last total sales that I found were in 2008. In an article written by Mark Hamstra states that back in 2008 FreshDirect revenues of $215 million, and is projecting an increase of nearly 12% for 2009, to about $240 million.

FreshDirect have built their reputation as a grocery store that you don’t have to go to, they come to you in New York. •FreshDirect don’t have to worry about paying high rent to serve the people. •Able to help busy people lives become a little easier with their home delivery service. Weaknesses

Most people like to be able to see and smell some of their food before they buy. •FreshDirect is located only in New York.
Charges a delivery fee.
High turnover in CEO.
Can expand to other areas/states besides New York.
FreshDirect can incorporate delivery of beer and liquor to be a one stop shop. •FreshDirect can provide a sales paper to increase sales. Threats
Other grocery stores that has an online service.
Whole Foods with their organic foods.
The NYPD with...
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