Blue Apron’s Amazon Launch Suggests Meal Kits Constrained by Subscription Model

Blue Apron

Blue Apron appears to be finding that, in its push to expand to a wider audience, the subscription model may be holding the company back. The meal kit provider announced Tuesday (Oct. 11) the debut of non-subscription meal kits via Amazon in an effort to “remov[e] barriers to trials,” per a news release.

The new Amazon shop includes one-time kits to feed two people or four people. The move expands the meal kit company’s initial partnership with the eCommerce giant to enable non-subscription meal kit voice ordering via Alexa-enabled devices.

Read more: Blue Apron Offers Hands-Free Meal Prep Instruction via Alexa

“Our customers regularly tell us how much they love our meals,” Blue Apron Chief Product Officer Josh Friedman said in the release. “By offering a selection of products in the U.S. Amazon store, we are able to provide Amazon customers the opportunity to buy a range of chef-curated meals that will arrive quickly to their door.”

The initiative marks a continuation of Blue Apron’s expansion beyond just direct-to-consumer (D2C) sales advanced in June by the meal kit provider’s launch of single-purchase, multi-serving meal kits and ready-made Heat & Eat meals on Walmart’s Marketplace.

See more: Blue Apron Lowers Barrier Between Meal Kit and Grocery With Marketplace Partnership

“Through these third-party sales platforms, we’re able to bring a significant new audience to Blue Apron, and … we’re really hoping that we can remove the barrier for trial by using this eCommerce channel,” Blue Apron Chief Marketing Officer Dani Simpson told PYMNTS in an interview concerning the Walmart distribution partnership. She also noted that, if a potential customer “prefers to buy something non-subscription and wants to do that on a cadence that works for them,” that is “OK with us too.”

The fact that Blue Apron’s third-party distribution partnerships are accompanied by a pivot away from the subscription model would suggest that, while meal kit companies’ existing customer bases may be open to and/or desirous of purchasing commitments on a regular basis, broader audiences may not feel the same. Consequently, to reach consumers who are not yet won over by the model and who may not be willing to commit, other meal kit providers may also need to consider adding non-subscription offerings.

As it stands, leading meal kit companies already are making an effort to assuage consumers’ anxieties, touting the ease of pausing, skipping weeks and canceling plans on their websites. Category leaders such as HelloFresh, Home Chef, Marley Spoon and Sunbasket all advertise similar claims in their FAQ and/or “how it works” sections. It would seem that, to take the size of their audiences to the next level, this degree of flexibility may not be enough.

However, there is certainly demand for food subscriptions. According to data from the May edition of PYMNTS’ “Subscription Commerce Conversion Index,” created in collaboration with subscription eCommerce platform sticky.io, 56% of consumers would be interested in a grocery subscription if product prices were lower.

Read more: Inflation Prompts 10x Increase in Consumers Reevaluating Subscription Value

Of course, the subscription model works in the business’s favor, ensuring ongoing commitment and regular purchases, and reaching these consumers could go a long way. Ultimately, it seems likely that, for meal kits to come out on top going forward, they may need to offer options for both subscription seekers and more commitment-phobic customers.