Last week, online grocer FreshDirect celebrated its 20th anniversary with a street renaming ceremony. The new FreshDirect Drive now welcomes employees and community residents to the retailer's Bronx, New York facility.
At the unveiling, Bronx borough president Vanessa Gibson presented an award recognizing the company as “a leader of online grocery delivery services” along with a citation inaugurating the anniversary as FreshDirect Drive Day.
“I love the investment FreshDirect makes in the Bronx,” Gibson said. “This company has been able to feed thousands of families in the Bronx, an accomplishment made evident by the Covid pandemic. They were in the trenches feeding families with fresh produce so they can eat healthily.” Gibson cited free meals that the company has donated to its local communities to help relieve food insecurity during the last few years.
SFA News Daily spoke with managing director Dave Bass about grocery delivery issues and insights during the pandemic and recent supply chain issues, as well as what the future has in store for the company.
In a conversation about recent consumer trends in online grocery delivery, Bass noted that the pandemic has caused baking-related items to take off, explaining that “These customers were doing way more experimentation in the kitchen.” Coming out of the pandemic and into a time of inflation, he has noticed that customers see the price of dining at restaurants and are more likely to opt for ready-to-eat solutions.
Inflation pressure has been unavoidable, especially when running a business so focused on food delivery. With the cost of fuel and food increasing because of the war in Ukraine, among other factors, Bass said the company has been focused on offering more affordable private brand options to lower consumers’ shopping bills, in addition to advocating for lower rates when purchasing products at scale.
When asked about the competition, particularly from Walmart Plus, Instacart, and regional retailers’ grocery delivery solutions, Bass explained that FreshDirect always starts with a customer-first model, which is more concerned with what they can do for the consumer, rather than what competitors are doing in the space. “Our customers look to us for high-quality fresh products and home meal replacements,” he said, “and in these areas, I feel we succeed and will continue to see success.”
when asked about the company’s goals for the future, Bass said “What made us strong in the first twenty years is great fresh produce, great service, and great home meal solutions. So, we expect those spaces to continue to evolve, especially the home meal solution area; we expect to take advantage of new trends, and new flavors. The second piece we are excited about is we are well-positioned to commit to sustainability, so we are looking into solar, and into electrifying our fleet, so we can take care of our customers and environment. Our last goal is to address how we can continue to evolve to meet the demands of our customers. For example, how they expect to receive groceries, which has changed over time, from a few days to a few hours."
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Image: Andrew Morales Photography