Deliveroo has waded into the growing rapid grocery delivery market with the launch of the Hop service with supermarket chain Morrisons.
Deliveroo has taken its first step into the market by opening a dark store in London in partnership with Morrisons.
Hop will be available for customers in and around Vauxhall and Battersea in south-west London within a 10-to-15-minute radius.
The new service is designed to compete with the likes of Getir, Gorillas, Weezy and Zapp, which have mushroomed during lockdown, raising hundreds of millions in funding from venture capital.
“Deliveroo Hop will enhance our on-demand grocery offering for both consumers and our grocery partners,” said Deliveroo chief executive Will Shu.
Having begun life as a takeaway delivery app, groceries have become increasingly important to Deliveroo, taking up around 7% of all customer spending on the app in the first half of the year.
It delivers from 4,600 supermarkets and convenience stores across the UK, including Waitrose, Sainsbury’s and Aldi, as well as internationally.
Shu said he hoped to expand Hop to more locations, potentially tying up with other supermarkets.
Hop marks the first time that Deliveroo will effectively become a retailer itself, with Morrisons acting as a wholesaler and the delivery app setting its own customer pricing. While Deliveroo currently delivers Morrisons groceries, the supermarket pays it a commission for each delivery.
Deliveroo’s existing fleet of couriers will pick up Hop deliveries from the dark store, continuing its controversial gig model. This is in contrast to competitors such as Gorillas and Zapp, which typically employ their delivery staff.
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