Meal-kit service Blue Apron APRN, -5.34% announced that it will be ending out from its partnership with Walmart WMT, +0.94% and will be pulling out its pilot service to the grocery store’s e-commerce site called Jet.com. However, Blue Apron is set to continue its partnership and will still sell with WW WW, -0.03%.
“As we’ve said before, Jet has been a great partnership through which we’ve built valuable on-demand competencies, many of which we are now applying to future considerations for our model,” said Linda Kozlowski, Blue Apron’s chief executive, on the earnings call, according to a FactSet transcript. “Right now, however, we need to focus our efforts on our core business – engaging with our customers week-in and week-out on our platforms through our direct-to-consumer service.”
Blue Apron, as mentioned by Kozlowski, is looking for opportunities with “large, highly-engaged communities whose interests and values overlap with those of our best customers.”
“The research is clear that cooking fresh food at home is healthier than takeout or restaurant dining,” said Kozlowski. “And many consumers who want to be healthy are not willing to sacrifice on taste or quality to do so, and they ‘shouldn’t have to. Our partnership with WW has proven to us just how hungry Blue Apron customers and specifically our best and most profitable customers are for this type of solution.”
Furthermore, Blue Apron aims to add value by tapping to flexible products and services for those looking for healthy alternatives. “After announcing our new Beyond Burger recipes, we saw strong interest from customers, even weeks out from shipping,” said Kozlowski.
As part of this new change for the company, customers can expect a wider range of options and new fruits and vegetables like Chinese broccoli, nectarines, and shishito peppers starting September. Kozlowski also said that they would start offering options for consumers to swap carbs with more protein and veggies.
