By building its first ever grocery shop, the food delivery behemoth Deliveroo is making its way into the retail industry.
The British technology company will open its new “Deliveroo Hop” store in London today.
Customers will be able to order meals and groceries for pick-up at an Argos-style collecting point or for delivery at the New Oxford Street location.
All 1,750 grocery products will be supplied by Morrisons, which has collaborated with Deliveroo as its official food provider.
It comes after the British company, founded by entrepreneurs Will Shu and Greg Orlowski, had success with speedy grocery deliveries during the Covid pandemic, when many people opted for home deliveries rather than visiting supermarkets.
However, because to competition from Amazon and other supermarket delivery start-ups, the company is abandoning its bicycles in favor of brick-and-mortar locations.
The chief operating officer of Deliveroo, Eric French, stated, “We are opening our doors and welcome commuters, local residents, visitors, and day-trippers to our first high-street food store in the UK.”
By building its first grocery store on Oxford Street, food delivery company Deliveroo is expanding into the supermarket business (pictured)
All 1,750 grocery items will be supplied by Morrisons, who have teamed with Deliveroo as the store’s official food supplier (pictured)
How does the new Deliveroo shop function?
1) Walk-in and purchase
Customers can enter the store on New Oxford Street and place orders via computerized kiosks. A staff member will then bundle the items from behind the counter and present the completed order to the consumer.
2) Order through the app and pick up
Deliveroo allows customers to order groceries from the New Oxford Street store. When the order is complete, a staff member will pack the customer’s groceries, and the customer can then pick up the food.
3) App-based ordering and delivery
Customers can order groceries from the store on New Oxford Street, which will subsequently be delivered to their homes.
‘Our New Oxford Street location provides a new way to shop for Deliveroo customers, providing them even more flexibility and variety,’ and’should also stimulate the local economy, with nearly two-thirds of shoppers stating they will visit other adjacent stores when they shop with Deliveroo’
Deliveroo has teamed with Morrisons to sell ready-made meals, fresh food from its The Best range, and pantry necessities on its new website.
Customers will be able to order groceries using digital kiosks in the shop, similar to how they do at fast food restaurants such as McDonald’s, then wait for an employee to pack them from behind the counter.
Additionally, consumers can pre-order products through the Deliveroo app and pick them up when they are ready.
According to the company, this allows customers to bypass the supermarket and walk away with their supplies in minutes.
Deliveroo reports that customers can continue to order home delivery from the Oxford Street location via the app.
Many supermarkets signed up for food delivery companies like as Deliveroo and Uber Eats in an effort to capitalize on the increased demand for speedy delivery that arose during the pandemic.
Deliveroo, which has about 7,000 grocery locations in the United Kingdom and Ireland, has collaborated with supermarket heavyweights such as Waitrose and Sainsbury’s and promises delivery within 20 minutes.
The store will allow users of its app (pictured) to order meals and supplies for pick-up or delivery on New Oxford Street in the capital.
Deliveroo disclosed a loss of £147 million for the first half of the year, as cash-strapped clients cut back on takeaways, a month prior to the launch.
The company’s half-year losses increased dramatically from £95 million a year ago.
In a further blow to the company, its non-executive director, Next’s CEO Lord Wolfson, announced his resignation from the board 18 months after assuming the position.
Lord Wolfson stated that his Deliveroo position was no longer compatible with his executive and other responsibilities.
However, Deliveroo stated that its profitability plan was progressing well and that it intended to withdraw from the Netherlands to increase its financial reserves.
Monday marked the opening of its new London store, which will be open from 8 a.m. to 11 p.m. and will also deliver to nearby homes and businesses.