FreshDirect is readying a 400,000-square-foot facility in the South Bronx. The hope is that the new warehouse will allow the New York-based food delivery company to double its business. That's according to chief executive officer Jason Ackerman, who addressed the complicated New York market in an interview with Bloomberg News. Fresh Direct, which charges $6 to $7 for a typical delivery, will probably never be cheaper than similar services offered by Amazon.com Inc. or Walmart Inc.'sJet.com.
The key, he explained, is to focus specifically on food — anything from organic avocados to Nova Scotia swordfish — and attract customers who are willing to pay more for convenience as well as quality.
"If you’re selling millions of things online, that’s not your focus," Ackerman said, referring to the delivery of perishable goods. "We’ve been competing with a lot of players for a long time — it’s very hard to learn if you’re not from this business."
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