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Blue Apron Inc.: Success and Challenges

By: Contributor(s): Material type: TextTextDescription: 56-68 pSubject(s): In: MURTHY, E N CASE FOLIOSummary: The case discusses the successful journey of subscription-based meal kit delivery startup Blue Apron. Founded in 2012, Blue Apron is one of the fastest-growing food delivery businesses in the US. The company adopted a unique business model by mailing perfectly portioned, prepackaged ingredients and recipe cards to home cooks in need of handholding. Instead of shipping out finished meals, Blue Apron let its customers be the chefs, delivering recipes and fresh ingredients to people all over the US. Though the company was profitable in just the third quarter of 2016, its growth was impressive. In 2016, Blue Apron generated revenue of about $795.4 mn by delivering about eight million meals per month to customers. However, the meal kit delivery startup faced some challenges as it accelerated into a bigger company. One of the biggest challenges was the cost of attracting new customers and the retention of existing customers. The company also had to face some operational challenges due to its broader product expansion. Moreover, intense competition and Amazon’s plan to launch its own meal kits made things difficult for Blue Apron. It remains to be seen how Blue Apron will survive the challenges that come its way.
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Holdings
Item type Current library Call number Vol info Status Notes Date due Barcode Item holds
Management Cases Management Cases Main Library Vol 18, No 1/ 5558567JA4 (Browse shelf(Opens below)) Available 5558567JA4
Journals and Periodicals Journals and Periodicals Main Library On Display JOURNAL/MGT/Vol 18, No 1/5558567 (Browse shelf(Opens below)) Vol 18, No 1 (01/03/2018) Not for loan March, 2018 5558567
Total holds: 0

The case discusses the successful journey of subscription-based meal kit delivery startup Blue Apron. Founded in 2012, Blue Apron is one of the fastest-growing food delivery businesses in the US. The company adopted a unique business model by mailing perfectly portioned, prepackaged ingredients and recipe cards to home cooks in need of handholding. Instead of shipping out finished meals, Blue Apron let its customers be the chefs, delivering recipes and fresh ingredients to people all over the US. Though the company was profitable in just the third quarter of 2016, its growth was impressive. In 2016, Blue Apron generated revenue of about $795.4 mn by delivering about eight million meals per month to customers. However, the meal kit delivery startup faced some challenges as it accelerated into a bigger company. One of the biggest challenges was the cost of attracting new customers and the retention of existing customers. The company also had to face some operational challenges due to its broader product expansion. Moreover, intense competition and Amazon’s plan to launch its own meal kits made things difficult for Blue Apron. It remains to be seen how Blue Apron will survive the challenges that come its way.

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