Morrisons is making strides in its online operations by increasing its reliance on Ocado’s technology.
The supermarket chain has decided to channel more of its online business through Ocado Group’s Dordon Customer Fulfilment Centre and utilise the company’s artificial intelligence-driven in-store fulfilment solution. This strategic decision marks a significant shift from the Erith Customer Fulfilment Centre.
Morrisons’ collaboration with Ocado, which started in May 2013, is set to evolve as they phase out operations at Erith. By increasing the volume processed at Dordon, the supermarket aims to offer its customers enhanced access to its distinct Market Street offerings, ensuring comprehensive coverage of all postcodes across England, Wales, and Scotland.
Ocado’s CEO, Tim Steiner, expressed optimism about the new arrangement, highlighting its potential to provide additional network capacity without the necessity for more capital expenditure as Ocado Retail nears its full capacity. This development is seen as a crucial step in maintaining seamless service for customers and strengthening their market presence in the UK.
The partnership is expected to yield substantial benefits for both parties. Morrisons will continue to leverage Ocado’s Smart Platform to enhance its online offerings, thus ensuring no disruption to customer service. The move aligns with Ocado Retail’s strategy of fully utilising its existing capacity while supporting Morrisons in achieving its online growth ambitions.
The expanded use of Ocado’s technology represents a forward-thinking approach for Morrisons, striving for efficiency and growth in the competitive online grocery sector.