See how Yummy.com defines Grocery 3.0
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Heads up!
Yet one more example of online and offline converging into 21st century grocery retailing.
Yummy.com, the southern CA independent food retailer founded in 2002, has evolved a unique type of grocery retailing that combines both online and traditional shopping. Founder Barnaby Montgomery says it reflects the way shoppers “really shop across channels.” The company’s sales patterns reflect this: 50% to 70% of Yummy.com's sales come from online orders and the rest come from in-store sales. This Progressive Grocer article gives a good overview of the company’s strategy.
Yummy.com focuses intensely on the two key components of successful online shopping – placing the order and fulfilling the order. “The truth is that nobody wants to own the supply chain,” says Montgomery, “because it’s tough work, but they do it because it’s profitable.” Online orders at Yummy.com are usually picked 10 minutes after they're received and delivered in 30 minutes to an hour.
BMC POV
What sets Yummy.com apart from other ecommerce operations is the way they minimize distance from the fulfillment location to the customer’s home. By locating their stores close to where shoppers live, they reduce both the cost of delivery and response time to customer needs. This creates a cost-effective business model.
Perhaps more important and compelling to the shopper, however, is that it allows customers to get groceries when they need them without having to anticipate their orders or wait to get them. It’s a lot like going to the store without leaving the house.
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