Asda is tapping into the growing on-demand grocery channel with the launch of a service that offers home delivery within an hour. However, unlike some other providers, the UK’s third-largest supermarket is making its full online product range available for rapid delivery.
The Express Delivery service has been launched at three Asda stores this week following an initial trial. Customers living within a three-mile radius of its Halifax, Rotherham and Poole stores can order up to 70 items from Asda’s 30,000-strong online grocery range for delivery in an hour, with a flat rate charge of £8.50. Larger orders with no limit on the number of items can also be delivered within four hours.
The retailer stated that there is potential to quickly roll out the Express Delivery service to more stores if it proves popular with shoppers.
Asda also announced today that it is extending its partnership with Uber Eats from 200 to more than 300 stores. This offers a range of 500 everyday grocery products for rapid delivery.
Simon Gregg, Asda’s Vice President of Online Grocery, said: “After successfully trialling an Express Delivery service, we know this is something that our customers want as part of our online grocery proposition and we are delighted to be able to offer this service to even more customers.
“The launch of our new Express Delivery service and extension of our existing partnership with Uber Eats to 300 stores means that customers can get their order delivered to the doorstep at market-leading pace.”
Faster, on-demand delivery is the latest frontier in the battle for grocery shoppers with start-ups such as Fancy, Weezy, Dija, Zapp, Gorillas, and Getir now taking on established players like Deliveroo.
Tesco also began trials of its new Whoosh rapid delivery service in selected postcodes in Wolverhampton last month, with roll-out to parts of London and Bristol now underway.
Sainsbury’s has its own rapid delivery operation called Chop Chop, but it has also partnered with Deliveroo and Uber Eats to boost capacity. Meanwhile, Waitrose recently scrapped its own Zoom rapid delivery business in favour of expanding its tie-up with Deliveroo.
Morrisons, Aldi and the Co-op are also using delivery operators such as Deliveroo and Uber Eats, whilst numerous new players have entered the market in the last couple of years amid increasing demand for such services.
Related item: ‘Quick Commerce’ Grocery Channel Now Worth £1.4bn
NAM Implications:
- If Asda customers are prepared to pay delivery fees for Asda’s service…
- …this becomes a pointer for other mults.
- Suppliers need to ensure their supply chain responses adequate.
