Dive Brief:
- Kroger has introduced on-demand sushi and floral delivery from its banner stores via DoorDash, according to a Monday announcement.
- Items available through the program include custom-wrapped Bloom Haus bouquets as well as an array of fresh sushi, such as rolls and combos, dumplings, poke and bottled sauces.
- This past year, both Kroger and DoorDash have worked to expand their business models, with Kroger offering more fresh and meal delivery, and DoorDash continuing to strike up partnerships with grocery companies.
Dive Insight:
The offering of Kroger’s new deliverable items, which was piloted in select areas throughout the fall, will be sourced from over 900 of the grocer’s sushi locations and 1,600 of its floral locations, according to the press release. Orders for these items can be placed directly through the DoorDash app or website to be prepared and packaged by in-store sushi chefs and floral associates at Kroger stores.
The grocer’s selections are also available through DoorDash’s membership program, DashPass, which offers members unlimited free delivery as well as reduced service fees on eligible orders over a minimum subtotal, the announcement notes.
This is Kroger’s latest initiative to expand delivery services and include more product variety. Throughout the year, Kroger Delivery, its service powered by Ocado technology, has entered a number of new areas, most recently including in the greater Detroit; Birmingham, Alabama; and the greater Nashville and Chicago metro areas.
On the fresh front, the grocer has opened two Kitchen United Mix locations, one in Dallas and another in Houston, in 2022. These ghost kitchens are meant to bundle food from multiple brands into one pickup or delivery order.
In an effort to keep up with the growing competition in the grocery delivery sector, DoorDash has continued to create partnerships with grocery brands. In its third-quarter earnings, the delivery company reported its convenience and grocery businesses, combined, grew 80% year-over-year in marketplace gross order value.
In September, DoorDash grew its partnership with Raley’s to offer on-demand delivery services. DoorDash’s latest tie-ups also include same-day delivery services with BJ’s Wholesale Club and Dollar General, as well as an updated partnership with Schnuck Markets under which DoorDash is providing prepared foods delivery from more than two dozen of the grocer’s locations.