By 2013 while one believed that digital on-demand startups ideas have been exhausted following the likes such as Uber, Freelance, Taskrabbit, Instacart unearthed another rather untapped errand, grocery shopping.
Aldi's business model is supported by an incredibly efficient operating model. The UK's Big4 grocers have responded to Aldi's growth with price cuts, but is this really a sustainable response?
Wegmans has earned a loyal customer base through its four-pronged business model that combines the best attributes of its competitors into a unique shopping experience. But, how has Wegmans been able to deliver this all-around winning experience when other grocers have failed?
In 2012, Fast Company ranked Trader Joes as the 11th most innovative firm in the US. That same year, Trader Joes managed to outperform the rest of the grocery industry with a record revenue per square feet of $2,054 (compared with Whole Foods – $1,257, HEB – $867, Walmart – $607 and Publix – $591). Trader Joes key to its success has been that it has an operational model that enables it to meet its pledge to consumers. This pledge can be described as offering a WOW experience through interesting products, everyday low prices, relatable staff and a unique brand personality.
Ocado is often thought of as an online alternative to incumbent food retailers. But the operational sophistication, backed up by 400 programmers and a clutch of patents, reveals a business that is taking a very original approach to grocery.
Trader Joe's leverages secrecy to execute on their promise of great food + great prices