Grocers are continuing to expand in-house delivery to delight customers and gather data. While Instacart was a pandemic lifesaver, today consumers and retailers are questioning how much value they get from high service charges and frequent product outages when retailer inventory systems are not linked to the app. Many retailers are taking on the job of delivery directly so they can give consumers a better experience, and garner better insights into what customers want. We’ve seen Walmart+ and Kroger’s Boost subscription programs join older services like Amazon Prime and improve sales. Kroger announced in its Q3 2022 earnings report that total digital sales grew 10%, but “delivery sales were up 34% year over year,” demonstrating the potential value for retailers.

Khaled Naim

Co-Founder and CEO, Onfleet