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Ocado ends exclusivity with retailers

At the end of last year, Ocado Group has rolled off its mutual exclusivity agreements with retail companies. This applies to most countries where the group has currently implemented its fulfilment technologies, including the USA. The move allows the company to once again offer its automation solutions in many of the world’s largest food markets.

In the USA, supermarket operator Kroger had been its exclusive customer, which announced in November last year that it would significantly reduce the number of its delivery warehouses equipped with Ocado technology. The Retail Optimiser reported. This means considerable revenue losses for the technology provider, which will, however, be partially offset by an agreed compensation payment.

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Ocado now hopes that the opportunity to offer its solution portfolio to other retailers will create new business successes. Tim Steiner, CEO of the Ocado Group, said: ”As we continue to support all of our partners to improve and grow their online businesses, we will also now bring the full range of Ocado’s AI-powered and robotic solutions back to multiple markets.”

Specialising in online grocery

Under the name Ocado Smart Platform (OSP), the company offers an end-to-end solution tailored to the requirements of online grocery retail. It uses modern automation technologies, robotics and artificial intelligence. It promises to optimise all process steps, from e-commerce and supply chain to order processing and last-mile delivery.

”Today, our fulfilment solutions span Store-Based Automation, AI-powered manual fulfilment in stores and dark stores, and automated CFCs of all sizes, ranging from micro-fulfilment to larger facilities,” explains Tim Steiner, adding that the platform supports all delivery options from instant delivery to same-day delivery, next-day delivery and click-and-collect.

ICA and Casino Group are among the customers

In addition to Ocado Retail, Morrisons is a user of the Ocado Smart Platform in its British domestic market. In Europe, ICA in Sweden, Auchan with Alcampo in Spain and its Polish subsidiary as well as Casino Group in France have opted for the solution. Existing overseas customers include Aeon in Japan, Coles in Australia and Sobeys in Canada.

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Joachim Pinhammer

Joachim Pinhammer supports retail and technology companies with consulting and marketing expertise. He was Senior Analyst and Research Director Retail Technology at the London-based analyst group Planet Retail. Prior to that, he was the global marketing director for the retail division of Wincor Nixdorf (now Diebold Nixdorf). Joachim Pinhammer is a regular speaker at events organised by Messe Düsseldorf (EuroShop and EuroCIS), the EHI and further industry conferences. His reports are regularly published by trade magazines and online retail industry media.

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