NEW YORK (TheStreet) -- Blue Apron founder and CEO Matt Salzberg has discovered a niche in the business of fresh food same-day delivery. It's not easy going up against Amazon (AMZN) and its Amazon Fresh service, it's tough competing with Walmart (WMT) and Target (TGT), which are increasingly getting into the same-day delivery mix. And then there's fellow upstart Instacart, which uses personal shoppers to pick groceries from Whole Foods (WFM) and others.
Blue Apron, which reportedly is valued at $500 million following a financing raise, utilizes a different approach to the same-day delivery of fresh food relative to its competitors. For $9.99 per person, per meal, a subscriber receives a box all of the ingredients and several recipes required to make a unique meal at home.
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In an interview, Salzberg described Blue Apron's business model.
Brian Sozzi: Blue Apron is literally at the epicenter of all sorts of food movements. What are a couple of the themes you are finding when studying data on the items getting packed into those neat-looking boxes?
Salzberg: We're most focused on providing the freshest, seasonal ingredients to our customers. Our sourcing experts have built strong relationships with farms and suppliers so we can send hard-to-find ingredients directly to our customers, without having the food sit on a supermarket shelf or in a distribution center for days.