FreshDirect Said it Had Record Revenues in 2016

NEW YORK — FreshDirect, an online food retailer based in Long Island City, said it had record revenues for 2016 but didn’t release actual numbers.

FreshDirect delivers to customers in five states, including the New York City and Philadelphia metropolitan areas.

Company highlights for 2016 included:

  • Closed a $189 million investment round led by J.P. Morgan Asset Management
  • Launched FoodKick, an on-demand, mobile-first delivery business that caters to the spontaneous needs of urban dwellers. Having exceeded expectations in the launch markets of Brooklyn and Queens, FoodKick expanded service to Manhattan in the fourth quarter of 2016.
  • Added more than 500 new fresh products in the produce, meat, seafood and floral departments and more than 1,200 new product offerings in the grocery, frozen and dairy departments.

“2016 was a pivotal year for the company as we achieved strong results from our diversification strategy, notably the tremendous response to FoodKick. Our increased focus on mobile favorably aligned with customers’ preference to order on the go. In fact, those that utilize both our website and our FreshDirect and FoodKick apps spend more money with us,” said Jason Ackerman, FreshDirect’s co-founder and CEO. “By listening to our consumers and giving them more options to buy and enjoy fresh food at home, we are driving change in the way they shop, cook and entertain.”

FreshDirect is planning a significant expansion in 2017 with the launch of its grocery delivery service in a unnamed major metropolitan area.

The company is on track to complete its new state-of-the-art Bronx facility in 2017, enabling FreshDirect to double capacity, launch new initiatives, accelerate its growth and improve margin.

FreshDirect is also looking to expand its meal kit delivery service this year that won’t require a subscription.