OnTrend Concepts
Grocery Delivery Digest

August 4, 2020

Peter Cook, Publisher

As you may have noticed over the past few weeks, The Delivery Digest has included more and more articles on “ghost kitchens”. As ghost kitchens rely on delivery, we thought it made sense to include them. However, there is so much news related to ghost kitchens (and other topics which ought not be included in The Delivery Digest) that we decided to start a separate newsletter focused exclusively on ghost kitchens (developing the concept, marketing, delivery, etc.). So while we’ll still include some articles related to ghost kitchens in this newsletter, if you want full coverage on ghost kitchens, please subscribe to our brand new “Ghost Kitchen News Digest” (https://ontrendconcepts.com/ontrend-restaurant/ghost-kitchen-digest/).

Even without the ghost kitchen articles, there is still a LOT of news this week related to grocery and meal delivery. Amazon is getting some attention in the UK, and restaurants continue to get creative in expanding their off-premise offerings.

So please take the time to carefully read through the Delivery Digest this week. And please do not hesitate to send us any news you have which you think we should include!

Issue #15

Amazon Gets Approval to Buy 16% Stake in UK Food Delivery Firm Deliveroo

The U.K.'s competition watchdog has given Amazon's minority investment — which would see it take a 16% stake in Deliveroo — the green light.

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ALDI To Expand Curbside Grocery Pickup Availability To Nearly 600 Stores

After a successful pilot in select markets, Curbside Grocery Pickup will be available in nearly 600 ALDI stores across the country this month.

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Instacart and Costco Launch Same-Day Delivery Across Canada

Costco Delivery in Canada Now Available Through the Instacart Marketplace from 76 Warehouses

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Amazon Rolls Out Free Grocery Delivery In London

Amazon.com has launched a free and fast grocery delivery in London this week and plans to expand the service to the rest of the UK by the end of the year in a move to tap the increasing demand for online food sales accelerated by the coronavirus pandemic.

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Amazon's Grocery Delivery Service Spreads Panic Among UK Supermarkets

Internet giant Amazon’s dramatic expansion into the grocery delivery market poses a “real threat” to food businesses competing in the booming online retail sector, experts said today.

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Some Instacart Shoppers are Having Their Jobs Cut as Chains Replace In-Store Shoppers with Their Own Staff

By late April, Instacart said it had hired 300,000 independent contractor “full-service shoppers” to meet the surge in customer demand, and the company said it plans to add another 200,000 over the next couple of months. However, some of its in-store shoppers, who are part-time employees of Instacart, are losing their jobs, CNN Business has learned.

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What’s Next For Instacart?

A more intelligent model for Instacart to utilize is to open strategically placed fulfillment centers in cities across the United States. The purpose of the fulfillment centers is to remove pickers from stores and instead, automatically fulfill online orders using robotic micro-fulfillment centers.

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Food Delivery Will Prop Up Struggling Uber

Uber had the forward-looking vision to diversify beyond ride hailing. Food delivery has been a hot market due to concerns about the safety of going out to eat at restaurants in 2020.

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Denny’s Introduces New Platform to Exploit Off-Premise Demand

Shareable Family Packs, streamlined menus added to family-dining brand’s toolkit

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Grubhub Sees Orders Jump, Still Posts Loss

Grubhub's average daily orders jumped 32% in the second quarter as the pandemic shut in diners, but the company swung to a loss as it spent heavily to prop up struggling restaurants and protect drivers.

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GrubHub Says Delivery Boom is Here to Stay as Revenue Soars

The company saw huge growth in users, orders and food sales in the second quarter as more people turned to delivery during the pandemic.

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Announcing the Launch of The Ghost Kitchen News Digest

This weekly news digest will research, read, collect, and deliver all the relevant industry news and analysis to subscribers' inboxes...for no charge.

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Some Fast Food Restaurants Are Now Making Their Food More Expensive For Delivery Orders

Some fast food restaurants including McDonald's, Chick-fil-A, and Starbucks have been shown selling their products for slightly higher prices on third-party delivery apps, Business Insider reports.

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Restaurants We’re Dying to Get Delivered: 12 New Virtual Brands Across the Country

With restaurant dining rooms still closed or operating under limited capacity, restaurant operators are looking for new ways to generate revenue. A growing number of operators are creating new virtual restaurant brands, available for delivery only.

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How Restaurant Chains are Reclaiming Digital Sales Lost to Third-Party Delivery

‘Our ultimate strategy is always to get more share through our own websites then through third-party marketplace,’ says Alex Atwell, Salata’s marketing director.

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Shipt Partners with WellCare for Medicare Member Grocery Delivery

Shipt has partnered with Tampa-based WellCare to provide grocery and essential goods delivery to Medicare Advantage members.

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Big Lots Announces Nationwide Same-Day Delivery

The company has entered into a partnership with PICKUP. The service will be rolled out to 1,100 stores across the U.S. in the next month.

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Giant Food Nears Completion on Jessup, MD Warehouse Expansion

Giant Food, the Baltimore area’s largest grocer, will complete an expansion this month of its distribution warehouse in Jessup, in part to supply products for home delivery.

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After Seattle Expansion, Milk Run Eyes Expansion into Detroit, Denver, and Austin En Route to National Expansion

Launched in Portland, Oregon in 2018, Milk Run is an online grocer, dedicated to helping farmers and producers earn more money. Because of the Covid-19 pandemic and so many people preparing meals at home, its business is spiking.

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Farmers to Families Food Box Program Reaches 50 Million Boxes Delivered

U.S. Secretary of Agriculture Sonny Perdue announced today that the U.S. Department of Agriculture’s (USDA) Farmers to Families Food Box Program has distributed over 50 million food boxes in support of American farmers and families affected by the COVID-19 pandemic.

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Knox Produce Box Delivers Fresh, Local Food to Doorsteps Amid Coronavirus

Knox Produce Box is a weekly delivery service that provides fresh, local fruits, vegetables and products to doorsteps across East Tennessee.

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This Thousand-Year-Old Market is Pivoting to Home Delivery Using 21st-Century Tech

Rungis Market in Paris and Choco Market in Berlin are just two examples of how people are working to bring the singular experience of market shopping directly to your door.

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How To Tap Into Rising Opportunities In Grocery E-commerce?

Know how brands capture this new demand early on by building a strong online presence.

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Grocery Retailers Get High Marks in Corporate Reputation Ranking

Top finishers in Axios Harris Poll 100 ‘responded decisively’ to COVID-19 crisis

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Cramer: Your Favorite Restaurant 'Can't Survive On Delivery Alone'

The problem for the industry is the vast majority of restaurants aren't built for take-out and delivery options like Pizza Hut is, Cramer said. Even among those that do offer delivery and take-away, the off-premise sales is not enough.

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Georgia Governor Signs a Bill Allowing Grocery Stores and Restaurants to Deliver Booze

Gov. Brian Kemp signed a bill on Monday allowing home delivery of beer, wine, and liquor in Georgia. HB879 permits beer, wine, and liquor to be delivered directly to people’s homes from restaurants, bars, convenience stores, some package stores, and grocery stores.

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Australia: Fresh, New and Same Day Delivery Meal Kits

The meals use the freshest ingredients from local Sydney farms and take less than 10 minutes to cook.

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Online Grocery Sales ‘Soaring’ in the Middle East and the Trend May Continue, Says Retail Giant Majid Al Futtaim

Online demand for groceries has seen a “fantastic surge” in the Middle East during the coronavirus pandemic, and the trend may be here to stay, Alain Bejjani of Majid Al Futtaim told CNBC this week.

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India: Now, Get 90-Minute Delivery of Groceries with Flipkart Quick

Walmart-owned Flipkart on Tuesday announced 90-minute delivery for groceries as it looked to take on Amazon.com and billionaire Mukesh Ambani’s upstart JioMart in the fast-growing Indian market.

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South Africa: An Ambitious Township Delivery Service is Booming - It Delivers Thousands of Fresh Food Orders a Day

Yebo Fresh, a tech-driven food delivery company catering exclusively to Cape Town townships, has expanded rapidly under lockdown.

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