Grocery Delivery Digest

January 26, 2021

Ian Cook, Managing Editor

A handful of the major players in the grocery industry have made the news in the last week. Kroger announced that they will be opening a new automated fulfillment center in Phoenix, Arizona, partnering with Ocado. Imperfect Foods announced the results of their Series D investments, and Instacart plans to cut a number of jobs in the near future. There’s a lot to keep an eye on as each of these stories develop.

We hope you’re enjoying your week so far! Please feel free to reach out if there’s any way we can make this newsletter better for you. Otherwise, enjoy your Grocery Delivery Digest!

Issue #40

Imperfect Foods Secures $95MM Series D Investment Commitment

Imperfect Foods, the company reimagining sustainable grocery delivery, announces today it received a commitment to fund $95MM in a Series D growth investment.


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Costco Under Way with Limited Test of Grocery Curbside Pickup

After not having previously offered a click-and-collect option, Costco Wholesale has begun piloting curbside pickup for groceries at several warehouse clubs in New Mexico.


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Instacart To Cut 1,900 Jobs, Including Its Only Union Roles

Instacart Inc. is cutting about 1,900 employees’ jobs, including 10 workers who recently formed a union, as the company seeks to boost its ranks of contract workers.


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Kroger, Ocado To Open Automated Fulfillment Center in Phoenix

Kroger and e-commerce partner Ocado plan to open a 200,000-square-foot automated customer fulfillment center (CFC) in Phoenix, the two companies announced in a press release on Friday. Construction on the $89 million facility is expected to begin this year and the site will open 24 months later.


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Online Grocer Farmstead Launches Waitlist for New Miami Service

Farmstead, the first online grocer to offer fresh, high-quality groceries, delivered for free, at better prices than local supermarkets, announced today that it has opened the waitlist for its much-anticipated Miami service launch.


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DoorDash Repositions As All-Around Delivery Service with Super Bowl Ad

The new spot features “Sesame Street” characters partaking in the many items the service now delivers.


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Target Announces $500 Employee Bonuses After Busy Holidays

Target has announced another round of bonuses for its store employees, including seasonal hires who helped during the busy holidays.


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Giant Co. Introduces Choice Pass

In line with its long-term strategic omnichannel plans, The Giant Co. is offering Choice Pass to its online Giant Direct and Martin’s Direct customers.


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Gig Workers Could Get a Nasty Surprise This Tax Filing Season—Particularly on State Returns

Delivery drivers juggling work on multiple platforms might be in for an even tougher juggling act when it comes to filing their income taxes.


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Online and Phone Personalized Grocery Delivery Service Launches in Michigan

Pronto Home Delivery, the affordable and sustainable all-in-one home delivery platform, has launched services in Oakland County, Michigan.


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Bear Flag Robotics Scores $7.9m Seed Round Extension

Bear Flag’s autonomous tractors are piloted by a team of human supervisors who can operate the vehicles from a handheld device or a control room. The software does the heavy lifting of collecting information about each field, allowing the startup to harvest additional analytics that can boost growers’ performance next season.


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Rexall Partners with Uber Eats To Deliver Essential Items

Rexall Drugstores has teamed up with on-demand food delivery app Uber Eats to bring health and personal care product deliveries to Canadian customers.


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Local Line Is Helping over 7,600 Farms Across North America

Local Line was founded by Cole Jones in 2015 as a platform to connect small farms throughout North America with local chefs. Now, they are working with over 7,600 farms in North America alone to help those farms establish themselves using their e-commerce and order fulfilment platform.


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Seed of an Idea Sprouted To Produce Local Food Box Delivery Service

Lyndsay Mackay and Cole Finamore believe everyone deserves access to food that is both fresh and affordable. So in the midst of a pandemic, the Wasaga Beach couple created Sprout & Bean Market Box to deliver fresh produce to your doorstep.


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3 New Grocery Owners Talk Opening During the Pandemic and What's Ahead for 2021

In addition to the usual hurdles new businesses face, industry entrepreneurs grappled with store safety and scaling their e-commerce operations ahead of schedule.


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The Impact of COVID-19 on U.S. Food Delivery Services

With stay-at-home orders imposed and in-person dining shut down to varying degrees throughout the country, there was a food delivery demand shock last spring. And as the pandemic has subsisted, there continues to be more reliance on these services.


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Baby Boomers, to Retailers’ Surprise, Are Dominating Online Shopping

Older Americans are increasingly buying groceries — and just about everything else — on the Internet, and those over 65 are now the fastest-growing category of e-commerce shoppers.


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Eager To Innovate in Pickup, Grocers Look to Lockers and Kiosks

These storage units save precious store space and offer time flexibility for shoppers, but they also come with limitations that could impede their adoption.


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How the Augmented Workforce Is Impacting the Online Grocery Industry

2020 was the year online grocery shopping took a massive leap into the future. Bain & Co estimates that the market, boosted by the coronavirus pandemic, has jumped up to five years ahead in terms of customer demand. What was once a luxury for urbanites has been transformed into a lifeline for millions.


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Micro Fulfillment: 3PL's Answer to Modern Life

Micro fulfilment is becoming increasingly popular in 3PL. As well as providing faster delivery times and better connections to cities, there is a huge environmental benefit.


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Buymie Grocery Delivery Service To Waive Dunnes Fees for a Month

The company which has been running the grocery delivery service offered by Dunnes Stores since late last year has announced it is to waive its delivery fee for a month from Thursday to encourage people to stay at home.


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Food Delivery Startup Wolt Raises $530M — Despite Still Having More Than $100M in the Bank

The Finnish delivery startup plans to expand its growing network of retail partners — and help them take on Amazon.


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Turkish On-Demand Delivery Leader Getir Raises $128M at a ∼$850M Valuation As It Gears Up for Launch in the UK and Latin America

Turkish on-demand delivery kingpin Getir has raised $128 million at a ∼$850 million valuation, reports Webrazzi, as e-commerce activity and demand for snappy deliveries have spiked in the wake of the coronavirus pandemic, and global competition is heating up fast.


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Young Kashmir Entrepreneur Sets Up Valley's First Online Grocery Store

With an aim to serve people in the valley to shop from anywhere and anytime, a 28-year-old entrepreneur Malik Aadil has set up Kashmir’s first and largest online grocery delivery service.


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