Fresh Direct Case Analysis

1874 Words 8 Pages
Register to read the introduction… 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. http://supermarketnews.com/retail-amp-financial/freshdirect-drives-profit-gains#ixzz223N8llfv

FRESHDIRECT SWOT ANALYSIS
Strengths
•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.
Opportunities
•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.
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What benefits do they receive as a result of the way FreshDirect uses database technologies? How does FreshDirect utilise its information resources to benefit customers? Benefits: responsiveness, convenience, cost and differentiation through suggested meals (‘assembled’ products) and reminders/ suggestions

5 Opportunities for FreshDirect to consider Building upon your answer to the previous question, synthesise further suggestions/ opportunities for FreshDirect to consider i.e. what else could they be doing/ how might they use the technologies to add more value? consider loyalty programmes, data mining, supply chain integration etc 6 Enable FreshDirect OPTIONAL – discuss how (from a technical perspective) you might enable FreshDirect to meet such challenges 7 FreshDirect a success? Brainstorm and summarise the factors making FreshDirect a success this acts as a stepping stone to the second film clip which can be used to explore possible answers: business model, senior manager knowledge, customer population density and delivery costs, product differentiation, operations,

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