Can FreshDirect Succeed Where Webvan, Peapod, HomeGrocer And Others Failed?

from the good-question... dept

Back in December we had an article about a new online grocer in NYC that sounded remarkably like Webvan, though they claimed to be quite different. They claim their differentiating factor was focusing on the quality of the food – though, they also claim their super efficient process lets them keep the food at cheaper prices (which was the exact argument Webvan made). I’ve spoken to people in NY who love FreshDirect, but who think it only makes sense because of Manhattan – where most of the stores are small and not very good at getting fresh food and there are millions of potential customers packed in very close to each other. So, now, FreshDirect is looking to expand elsewhere, and people are wondering if it’s going to face the same problems as all the other online grocery services faced.

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