SWOT Analysis of Fresh Direct Holdings - Essay Example

While exact documents are rare due to the private status of Fresh Direct as a company, there have been rumors that the company posted over $250,000,000 in revenue throughout 2009, making them a rarely profitable e-commerce grocer. This distinction attracted the attention of British grocery giants Morrison Supermarkets PLC, who injected the company with an investment worth nearly $50,000,000 US in 2011 that gave them a 10% share.

Fresh Direct has become successful by focusing on the fast and accurate delivery of groceries as ordered through an internet-mediated customer interface.
Issues and Challenges Facing the Company
The company will face increased competition from large food retailers as they try to benefit from the growing market. Consumer attitudes about freshness will still be an issue, but it will also be faced by potential competitors.

The course of Action Recommended

Fresh Direct should continue its progressive expansion into restaurants and new delivery territories as a means of continuing customer growth. Similarly, it would be advantageous to remain aware and adaptive to concerns about freshness and website limitations.
Opinion
This was a thorough and structured case study that provides a significant amount of information about the history of Fresh Direct and the various opportunities and challenges they continue to face in the online grocery market. Read More