Property Grunt

Tuesday, January 17, 2006

The Grocery Wars

It appears that Fresh Direct is on the verge of being outmanned and outgunned by Pea Pod I first heard of PeaPod from buyers who were from Chicago but it appears they are now expanding their operations including Westchester. And they have aligned themselves with Stop and Shop.

If you go to the Peapod website, they have a query engine that allows you to put in your zip code to check if they deliver in your area. There is no doubt in my mind that grocery delivery services will be become more popular particulary in the suburbs because you need a car to get anywhere. And with higher gas prices, lack of parking and general congestion, this will beomce more of a viable option for consumers.

I would not be surprised if Trader Joes and Whole Foods are exploring this arena. Fresh Direct better get it's ass in gear and either expand their operations or sell out. This industry is slowly losing it's niche status.