FreshMarket Delivery: 2-Hour Grocery Delivery at Scale
How a grocery delivery startup grew from 100 to 5,000 daily deliveries in 12 months
Company Background
FreshMarket Delivery launched in 2022 as an online grocery delivery service in Austin, TX. Starting with 100 orders per day, they quickly gained traction by promising 2-hour delivery windows and focusing on fresh, local produce.
By mid-2023, demand exploded to over 1,000 daily orders, but their manual dispatch system and basic routing couldn't scale. They were missing delivery windows, burning cash on inefficient routes, and losing customers to competitors.
The Challenge
Missed Delivery Windows
Only 73% of orders delivered within promised 2-hour windows. Manual driver assignment couldn't keep up with order volume.
Inefficient Routes
Drivers averaged only 6 deliveries per shift due to poor route planning. Cost per delivery was $12.50 vs. $8 target.
Scaling Bottleneck
Dispatch team maxed out at 1,200 orders/day. Growth stalled because they couldn't onboard drivers fast enough.
The Solution
FreshMarket implemented Jandojegs' last-mile delivery platform in three phases:
Phase 1: AI Route Optimization
- Real-time route optimization considering traffic, delivery windows, and driver locations
- Dynamic re-routing when new orders come in
- Zone-based batching for efficient pickup and delivery clustering
Phase 2: Driver Management
- Mobile app for drivers with turn-by-turn navigation
- Automated driver assignment based on proximity and capacity
- Performance tracking and incentives for on-time delivery
Phase 3: Customer Experience
- Real-time tracking with 5-minute ETA updates
- Automated SMS notifications at pickup, in-transit, and delivery
- Photo proof of delivery with contactless options
The Results
Scaled from 100 to 5,000 daily orders in 12 months without adding dispatch staff
Improved from 73% to 97% on-time delivery within 2-hour windows
Reduced cost per delivery from $12.50 to $9.75 through route optimization
Doubled driver productivity from 6 to 12 deliveries per shift
Customer Testimonial
"Jandojegs was a game-changer for us. We went from barely handling 1,000 orders to smoothly processing 5,000+ daily. Our customers love the real-time tracking, and our unit economics finally make sense. We couldn't have scaled this fast without them."
Scale Your Delivery Operations
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