Not to be outdone by Instacart, DoorDash is also promising 30-minute delivery from major grocers.
Nine months after the grocery aggregator debuted its half-hour delivery option with a range of popular brands, DoorDash announced in a Thursday (Feb. 17) press release the launch of express grocery delivery in partnership with Albertsons Companies.
See also: Instacart Announces 30-Minute Delivery as eGrocers Race for Fastest Fulfillment
“We know that speed, selection and affordability remain paramount for consumers when it comes to getting everything in their neighborhood delivered on-demand,” DoorDash Vice President of New Verticals Fuad Hannon said in the release. “…Leveraging our extensive logistics network and Albertsons Cos. selection of groceries, we are creating a one-stop shop for consumers nationwide to access all the items they need, delivered to their doorstep right when they need it.”
Through this partnership, the grocer will benefit from the food delivery giant’s wide reach, with DoorDash being the category leader in the United States. More than half of all consumers have tried out the company’s services, according to data from PYMNTS’ November report “Digital Divide: Aggregators and High-Value Restaurant Customers,” created in collaboration with Paytronix. The study, which drew from a census-balanced survey of more than 2,200 U.S. adults, found that 57% of restaurant customers had ordered from DoorDash in the previous 15 months.
Get the report: Aggregators and High-Value Restaurant Customers
The news comes the day after the food delivery giant, which operates in over 7,000 cities across four countries, shared with analysts on an earnings call Wednesday (Feb. 16), that its non-restaurant categories are core to the company’s plan for long-term profitability.
Read more: DoorDash Reports 25M Active Users, Eyes Category Expansion
“By partnering with DoorDash, Albertsons Cos. is able to offer even faster delivery to go alongside the quality products and great value we provide our customers,” Albertsons Companies Senior Vice President of eCommerce Stephen Menaquale said in the release.
Ahold Delhaize Sees Digital Sales Growth
Ahold Delhaize’s digital investments are paying off.
The Zaandam, Netherlands-based multinational grocery giant, which owns a range of popular brands, including Albert Heijn, bol.com, Giant and Stop & Shop, announced in a Wednesday press release that its net consumer online sales grew 13% year over year in the fourth quarter.
In the U.S., digital sales grew 31% over 2020 including sales as a result of the company’s Fresh Direct acquisition early in 2021. Not including these, digital sales grew 8% as the company expanded its click-and-collect offerings and as Giant Food launched its endless aisle Ship2Me marketplace.
“Our investment in our omnichannel platform once again proved its worth during 2021,” Ahold Delhaize President and CEO Frans Muller said on an earnings call. “With 15 million active mobile app users and 1,642 pickup points and click-and-collect locations globally, group net consumer online sales grew by more than 38% [for the full year] compared to 2020, representing a two-year stack growth of more than 105%.”
The share of consumers purchasing groceries online remains relatively low in the U.S., according to data from PYMNTS’ study “Decoding Customer Affinity: The Customer Loyalty to Merchants Survey 2022.” The report, created in collaboration with Toshiba Global Commerce Solutions, found that 18% of consumers had mostly purchased groceries using digital channels in the previous month, while 82% had mostly shopped in stores.
Get the report: The Customer Loyalty to Merchants Survey 2022
The Save Mart Companies Announces Robotic Grocery Delivery in the Bay Area
As grocers struggle to make the economics of grocery delivery work, some are turning to automated solutions to provide a more labor-efficient alternative.
The Save Mart Companies, a Modesto, California-based company operating 204 stores across California and Northern Nevada, announced in a Wednesday press release the launch of a robot delivery service at the flagship location of its Lucky California supermarket brand in Pleasanton, California. Each robot, provided by autonomous delivery provider Starship Technologies, can transport about three bags worth of groceries.
“The launch of our new robotic grocery delivery service with Starship Technologies is an additional offering that our shoppers will value and enjoy, especially as the service area will progressively expand over time,” Mario Guerrero, store director at Lucky California Pleasanton, said in the release.
Farmstead Expands Its eGrocery Delivery Service to Chicago
Also in grocery delivery news, eGrocer Farmstead announced its Chicago launch in a Monday (Feb. 14) press release.
The city joins the grocer’s operations in Miami, the San Francisco Bay Area and two cities in North Carolina. The company promises prices lower than other eGrocers and competitive with brick-and-mortar chains, using its artificial intelligence (AI) system to be more efficient in stocking its digital shelves, among other operational tasks.
“[Grocers are] looking at ways to provide that omnichannel, seamless [experience],” Linda K. Lee, the eGrocer’s head of Business Development, told PYMNTS in an interview in June. “When it comes to that, I think personalization is top of the list — making sure that the customer feels that the grocer knows them, and understands their needs, their wants, and their interests.”
Read more: Farmstead’s Refill Discount Program Reframes Grocery Loyalty
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