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SanDiegoGrocer.com Closes

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Associated Press

An online grocery venture in California’s second-largest city has failed after less than five months in operation. SanDiegoGrocer.com shut down its Web site and disconnected its office phones. The company also closed a warehouse in National City and laid off about 50 employees. Consultants who worked with SanDiegoGrocer.com said the venture struggled from the start, failing to follow up with hundreds of customers who requested information from its Web site. Even a public relations firm hired by the company sometimes couldn’t reach executives. SanDiegoGrocer.com was founded by Chuck Jones, former owner of NuWorld Marketing Ltd., a retail coupon redemption service. At its launch in May, company officials said they planned to invest $30 million in the venture and operate a fleet of 20 delivery trucks. Other online competitors remain in the San Diego market, including Kozmo.com, HomeGrocer.com, PDQuick and WhyRunOut.com.

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