Groceries Delivered

Groceries delivered

Global interest in the grocery delivery business is heating up. Many businesses, including Postal Services around the world, seek to provide the convenience time-starved customers crave by slowly adapting their infrastructure to provide this service. The expanded source of potential revenue has recently prompted a major postal provider to join the lineup of those vying for a piece of the market share pie.

Joining forced with Irma, a segment of the second oldest grocery chain in the world Coop Danmark group, Post Danmark is hoping to enjoy the lucrative fruits of delivering groceries to the Denmark community. Besides offering the postal organization an additional source of revenue, the new partnership allows Irma to expand its delivery coverage area to a larger part of Denmark beyond where the company was able to deliver on its own.

Delivery times for groceries range from 1 to 2 days at a cost of $8.80 to $10.59 depending on location. Grocery items packed in special containers are transferred from Irma’s distribution warehouse to Post Danmark’s distribution centers across the country. A carrier then delivers the container directly to a customer’s doorstep.

Demand for grocery delivery service has helps Irma realize an 80 percent increase in online sales this year alone. Its new partnership with Post Danmark will greatly enhance the grocery chain’s ability to delivery items to its customers without a large capital investment in infrastructure and delivery vehicles to satisfy customer needs.

Do you think demand for grocery delivery services in the United States could eventually translate into a significant source of revenue for the Postal Service?

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  1. Anonymous

     /  October 9, 2014

    I can smell a problem if the groceries are treated like the mail.

  2. Jonn

     /  October 9, 2014

    I’d like to see this my neighborhood. I can order groceries from my iphone while jogging on the treadmill at night and get it before I go to work the next day. It seems like a big time saver to me, even at a $10 premium for delivery.

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