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E-Grocery business model

E-Grocery business model

E-Grocery business model

Running head: E-Grocery business model – group project 1

E-GROcery business model – group project 8

E-Grocery Business Model

Chathuri Samarasinghe

Tharangini Puvvala

Vijay Bula

Sullivan University

CSC560 Electronic Commerce and Intranet Development

June 2, 2019




E-Grocery Business Model

In the past few years, the online grocery shopping industry is growing with consumers rapidly along with the expansion of the digital world. With e-commerce expanding throughout the global market, the demand for online grocery stores has also been increasing. Companies like AmazonFresh, FreshDirect in the US have opened a platform for the companies to sell groceries to their customers with a single click. Many products that are being sold on an online platform, that was considered to be impossible to convert for online shopping. With proper technology usage, companies can sell perishable goods online and compete for traditional stores.

As we are seeing a growing trend in the online grocery business, more companies could serve more customers, throughout the country, as compared to traditional stores. Our company would like to capture this opportunity to create, develop innovative new strategies for an online grocery store that brings significant value to customers. Our company intends to provide a wide range of both durable and non-durable goods including fresh vegetables and fruits, and a broad range of services to our potential customers. However, our initial establishment will serve only the East Coast and North East regions in the US. By focusing only on two regions, our company intends to gain brand awareness, customer loyalty and build competitive advantage in the next five years.

Company Background and evolution

Fresh Grocery, Inc.

Our company, Fresh Grocery, Inc. is an online e-grocery store business that will be launched in December 2019. The online platform will have a wide range of both durables and non-durable goods, organic foods, fresh vegetables and fruits, and basic groceries at affordable prices. The online platform will have products from different brands, so the consumer can choose and buy. The company will be based in Chicago, Illinois with multiple suppliers. This is a privately-owned business, that is owned by Jane Doe (CEO), John Smith (COO) and Susan Smith (CFO). These executive committee members have hired, CTO – Bill Daniels to handle the design and build the website for their products and services.

Our company’s main objectives include offering fresh, organic durable and non-durable goods, quality customer services with fast delivery and quick customer responses. Developing an innovative and user-friendly web site to increase market presence, brand awareness, and loyalty, expanding throughout the US in the next 10 years, offering various high-quality brands from the market, and increase in profitability.


The company’s vision statement is to become a leading online e-grocery store in the US and to establish a one-stop and click online grocery shopping store in the US. Our vision statement is: “To be able to offer fresh, organic and quality products and services at affordable prices and provide friendly customer service to our customers and to help them to eat healthy food.” Justifying this vision statement will be our company’s main goal for the next five years.


The company’s mission statement is to establish an online platform to sell groceries from major manufacturing companies/brands at affordable prices to the customers. The company intends to expand its customer target groups throughout the East Coast and North East. Our mission statement contains five main factors. They are affordable prices, organic, fresh and quality products & services, fast delivery options, user-friendly website, and focus on improving customer loyalty, brand awareness and focus on expansion in terms of geographical location.

Organization Structure

The company was co-founded by Jane Doe (CEO), John Smith (COO) and Susan Smith (CFO). The executive committee has hired, CTO – Bill Daniels to handle the design and build the website for their products and services. In addition, the company will have to hire below staff for daily operations:

Key Personnel Resources
Strategic Manager

Human Resources and Admin Manager



Merchandise Manager (Supply chain management) 5
Sales and Marketing Manager 5
Development Team (online website development) 20
Project Management Team 10
IT Support Team 20
Database Management Team 10
Accounting Team 10
Customer Care – Call Center Team 40
Legal Team 5
Total 135


Below is our company’s organizational structure summary view:


Product line & services

The company will sell a wide range of goods from top brand companies on their shelves in the state of Illinois. The online platform will have durable and nondurable goods that include the below:

· Fresh organic vegetables and fruits

· Fresh organic dairy products

· Other food items and groceries

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