I used FreshDirect frequently when I lived in New York. It's incredibly useful -- particularly if your only local supermarket is fairly awful for real food like produce or meat -- but it's also fantastically expensive. I don't see how Farmigo can skip FreshDirect's warehouse model of distribution without even more drastic cost premiums.
Grocery delivery IS the future of supermarkets, but it requires significant infrastructure to make it cost-efficient. As Amazon is the only real player in Silicon Valley to invest in delivery infrastructure, it seems pretty likely that this future belongs to Bezos.
Matthew Yglesias posited that groceries would be the next logical step to build out that final mile to customers. When AmazonFresh starts building out with muscle, that's when it's time to short FedEx and UPS.
