Sainsbury’s Extends Trial Of One-Hour Delivery Service

In what are being dubbed the grocery “time wars”, Sainsbury’s has announced that it is extending the coverage of its one-hour delivery service in London amid growing competition from Amazon and its Prime Now one-hour delivery service.

The ‘Chop Chop’ service enables customers to order up to 20 items from Sainsbury’s, via an IOS App, and have them delivered by bicycle within one hour, for a flat fee of £4.99. The retailer began trialing the service in the Wandsworth area earlier this year. From tomorrow, Sainsbury’s will add 35,699 more postcodes to its App and begin operating the service from its Pimlico store.

To run the service, Sainsbury’s has recruited a team of 40 shoppers and cyclists. As soon as an order is placed, staff in either its Wandsworth or Pimlico store receive the information on an App and shop for the products. Another Sainsbury’s staff member then delivers the order by bicycle. Customers pay via the App, and can track their order.

Sainsbury’s first offered home delivery from its Croydon Branch in 1882. Customers had to place orders at the store which were then delivered by carts, pulled by horses, or even delivered by hand. Jon Rudoe, Sainsbury’s Director of Digital and Technology said: “This trial is part of our strategy to give our customers more options to shop with us whenever and wherever they want. Speed of delivery is important to some customers, so we have brought back our bicycle service to test demand further.

“If it proves popular we might introduce it to other areas of London. It complements our same day delivery service which is available at selected London postcodes through our online groceries service.”

Back in July, Sainsbury’s that it was ramping up its online activities with the roll-out a same-day delivery and collect service at 30 stores by the end of the year. It has also recently opened its first dedicated online fulfilment centre to cope with soaring demand in London. Tesco is also trialling same-day delivery in a few locations.

NAM Implications
  • Where at: 1 hr delivery is now a key online differentiator
  • Where headed: With London an obvious starting point, and 100% availability a given, expect roll-out in response to demand
  • Effect on you: A new route to consumer where waiting is not an option…
  • Action: Think bike and propose accordingly