Blue Apron ‘Knacks’ a new plan
Blue Apron is hoping that “downsizing” will bring in more customers.
According to a Fortune Magazine article, the meal kit company is launching a “scaled-back version” of its service with Jet.com, a Walmart service. The new “Knick Knacks” kit will come with sauces, spices, grains and dairy needed to make a two-person meal, but then requires customers to pick up any required meat or produce on their own.
By removing the meat and produce from the kits, the New York City based company is able to extend shelf life. The company reportedly expects similar profit margins for the Knick Knacks kits to what it sees with its traditional meal kits, after announcing a loss of 12 cents per share, 5 cents less than analysts had predicted. The company says it had a total of 557,000 customers in the fourth quarter with an average revenue per customer of $252.
To read the Fortune article, click here.