Third Party Grocery Delivery? Omnichannel Grocers Wrestle With Choices

grocery delivery

THIS MORNING on RetailWire.com I jumped on my high horse again with this little screed about grocery delivery strategies for supermarkets. As usual, I didn’t shade my opinion about 3rd party solutions, and I know some will take exception. That’s OK. The debate is important.

For perspective, when I founded the VStoreNews e-letter in 1998 I posited a world where grocery stores delivered everything – their own products plus those of other local retailers. Hasn’t happened yet.

The Grocery Delivery Debate

My comments today on RetailWire.com:

I’m squarely in the camp that advocates for own control of all customer-facing services by the retailer. High delivery costs remain a challenge, but this factor must be accounted for in a comprehensive manner. What do you really risk when you put digital moments of truth in the hands of an outside solution provider?

Third-party services intermediate the retailer’s service experience and divert essential data about shopper behavior. I could never agree to hand over control of my brand relationships to gig-workers directed by a company that is angling to become my competitor.

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What Amazon and Whole Foods wish they knew about in-store fulfillment

MINDS WERE BLOWN last week when Amazon announced its intention to acquire Whole Foods Markets 461 locations in a $13.7B cash buyout. A media and analyst frenzy followed that has kept the world of retail business on edge for many days.

As it happens, your intrepid storyteller was already deeply involved in a project focused on the in-store fulfillment of online orders. Click & Collect has been coming on strong for many months. It seems like Amazon’s serial adventures with AmazonFresh Pickup, AmazonGo, Prime Now and Prime Pantry have been a primary catalyst. Obtaining a portfolio of physical stores is its most audacious experiment to date. Now the competition gets interesting.

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