The regional market of NYC is a strong market for FreshDirect as the hassle surrounding shopping can be significant as can the time resources that are demanded from it. SWOT Analysis: Strengths: consumer direct distribution, high quality ratings and standards, innovative marketing plan, strong leadership, fundamentally strong expert teams of employees,(Gonzales, September 28, 2007, NP) high quality in warehouse environments that regulate conditions (unlike retail), customization of products offered to customers
Most Popular Grocery Category Purchased Online Percentage Food Health and beauty care Vitamins, herbal remedies and beauty aids Household cleaners Pet supplies Kempiak & Fox, July 2006, NP) An additional table offers other pertinent information comparisons regarding niche marketing differences as they compare to long established deliver/shipping companies that have online presence. (Johnson, Killgallon & Lockart, 2000, p
35-2) Some of the major issues with regard to FreshDirect is the ability of this service to demonstrate growth in a niche market (online grocery delivery service) that has seen many start up failures. (Kummer, 2006, p
Another recent trend that may affect FreshDirect is the online market creations by existing brick and mortar stores, such as Safeway, Albertson's and now Wal-Mart. (LeClair, 2002, NP) the business model of FreshDirect seems to match the existing consumer desire for goods, as is seen in the following table, as FresDirect offers more food than any other product and only limited amounts of secondary and branded prepackaged goods
The company was launched in the summer of 2001 and operates from a production center in Long Island City, which affords the company a 4 million person potential customer base within a 10-mile radius. (Pearce & Robinson, 2005, p