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Step 2, Groceries
prostoalex writes "Fortune magazine runs an article on New York - based FreshDirect, provider of high-quality groceries. Unlike Webvan, which failed with $1B of venture capital, FreshDirect seems to make pretty good money off online grocery sales - revenues of $225M are projected by 2004. The minimum order is set at $40, the company also charges $4 for delivery." If you want to check out their store, try zip code 10022.
newsweek had a similar story in last week's issue about more traditional brick 'n mortar grocery stores going online
the thing with them, though, is that they already have a ton of locations and are in no rush to scale up their web orders: they already are in the black on the retail front and want to slowly and cautiously roll out the web strategy
they also have an edge over the online start-ups through name recognition: it's a lot easier getting somebody who already shops at your store to try something new, rather than risk it on some company they've never heard of.
i couldn't find the link at the Newsweek site, but the issue may still be on shelves at stores around the country until monday or tuesday
I am the one who submitted this story, and you're correct about my Russian origin, although currently I live in WA state. Now, Slashdot lists me, as submitter of 58 stories total. They're related to different events, as well as different companies, including Intel, Microsoft, Sony, etc. If all my postings went through some crooked schemes that included fat checks those companies sent me to submit stories to Slashdot, I'd have my own island.
I learned about FreshDirect from Fortune magazine today and I cannot use, let alone have incentive to advertise, their service.
I'm surprised no one's mentioned tesco.com yet. It's the world's largest online grocery delivery service, with revenues of over $560m last year, and it's running an operating profit. They've just started expanding out of the UK and have launched in the US in a partnership with Safeway. The unique thing about them is that rather than have a huge distribution centre somewhere, they make use of their existing bricks and mortar infrastructure. When you place an order, it gets sent through to your nearest store where a member of staff goes and picks it off the shelf for you, and it's delivered the next day (within a 2 hour timeslot you request, too). I've been using them for a while now, and have few complaints (other than a few IE-isms on the web site).
"The invisible and the non-existent look very much alike." -- Delos B. McKown