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It would be a great fit given that the main challenge is logistics which Amazon is already a leader in. With Amazon Fresh they even have the ability to pick up
by jonknee 9y ago
It would be a great fit given that the main challenge is logistics which Amazon is already a leader in. With Amazon Fresh they even have the ability to pick up the previous week's boxes and cold packs (along with delivering the rest of your groceries at the same time!).
Blue Apron spends a fortune acquiring new customers, possibly up to $460 per sign up as of recently [1]. I bet the percentage of Blue Apron subscribers that are also Prime members is amazingly high. Amazon doesn't have to pay a dollar to advertise to these people, let alone $460.
[1] https://www.recode.net/2017/6/1/15727182/blue-apron-ipo-s1-analysis-customer-acquisition-marketing-churn https://www.recode.net/2017/6/1/15727182/blue-apron-ipo-s1-a...
- dtien 9y agoAnd possibly the ace in the hole, the Whole Foods aquisition. Local distribution centers via the whole foods stores, with fresh foods, even with premade foods if you wish. Could ultimately be a blue apron/munchery hybrid. Their advantage would of course be their world class distribution/fulfillment tech, but also the fact that the costs of the food parts are mostly sunk already into the Whole Foods biz.
- petra 9y agoI agree. The munchery/whole-foods combo is the ace here. They only need to figure out meals that last 7 days (chilled) with natural ingredients only, but since freshly(acquired by nestle) did it, it's possible. Or maybe there's some patent here, and it's really hard to achieve otherwise, and that's why nestle bought them.