In the never-ending quest for delivery immediacy, grocer Kroger is testing out 30-minute deliveries in its home market of Cincinnati, cutting the promised time from Amazon’s Prime Now in half. Called Kroger Rush, the service costs $5.95 per order, with the first order free, and requires an app download.
After weeks of concentrating its fire on Amazon, Walmart is now dealing with a flank action from Target as the latter has fully integrated its Shipt same-day delivery service with Target.com. Walmart, for its part, just launched a $98 per year subscription program for same-day grocery delivery, a service that normally costs $9.95 per order.
Demand from e-grocery and meal kit sales will lead to development of 70 million-100 million sf of cold storage space over the next five years, up from 214 million square feet, according to a new report from commercial real estate firm CBRE. The 18-29 year old age group is the fastest growing in terms of e-grocery activity.
While retailers pursue same-day delivery, grocers often complete and ship orders in an hour, while restaurants get even less time. Merchants in food delivery thus have to make instant decisions about the legitimacy of a purchase or risk upsetting their customers. The trick is implementing fraud prevention without ruining the experience.
The 9th annual Ecommerce Operations Summit will be held April 14-16, 2020 at the Marriott Orlando World Center in Orlando, FL, and the call for speakers is now open! If you are an industry professional with your finger on the pulse and have a great story to share with your peers, we want to hear from you!
Firing back at Amazon’s move less than three weeks ago, Walmart is now offering free next-day delivery to customers in Phoenix and Las Vegas, with plans to expand to Southern California within days and 75% of the U.S. population by the end of the year. Walmart’s deal is mostly free: There’s a $35 order value threshold to qualify.
Kroger plans to build the second of 20 automated distribution centers in partnership with UK grocer Ocado for fulfilling ecommerce orders in Groveland, FL. The state-of-the-art FCs, built by Kroger and powered by Ocado’s automation technology, are just part of Kroger’s innovation push including driverless and same-day delivery.