Asda strikes deal to use Ocado software for home deliveries from next year

Asda has agreed a deal to use Ocado’s technology to run its online grocery store and home deliveries from next year. Ocado software will be used to support Asda’s grocery website and deliveries from its stores and “dark stores” – smaller warehouses that are not open to the public – from early 2027, the companies announced on Friday. Asda, Britain’s third largest supermarket, will also use Ocado’s underlying technology to manage deliveries of orders placed through apps such as Uber Eats, Deliveroo and Just Eat, and for click-and-collect services through the supermarket’s website and apps. The deal means Ocado will soon provide the technology supporting deliveries at three of the UK’s biggest grocers. In the UK it already runs the online supermarket Ocado.com as a joint venture with Marks & Spencer , which sells its products via the site. It manages Morrisons’ website and the majority of its online deliveries, from stores and a central warehouse. Ocado previously partnered with Waitrose , which sold its goods online via Ocado.com. Asda will not use Ocado’s robot warehouses in the UK or sell via the Ocado.com website. Using Ocado’s systems will help Asda modernise its website and step up fast-track deliveries and click and collect. The deal is likely to be welcomed by shareholders in Ocado, which has had several setbacks in its efforts to sell its hi-tech vision of grocery delivery around the world. …