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09/13/2021

Shipt Expands Grocery Delivery by 2M Households

Target-owned grocery delivery company Shipt has expanded its services to more than two million households in the company’s largest expansion in three years.
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The company added more than 1,000 store locations to its same-store delivery services, including more CVS, Bed, Bath & Beyond and GNC locations. The biggest expansion is among consumers in Atlanta, Charlotte, North Carolina, Los Angeles and Seattle.

Executive Summary

Shipt has been a winner of the COVID-19 pandemic after consumers shifted to grocery delivery services to avoid exposure and spread of the virus. The company has partnered with several retailers over the last 18 months, increasing its reach to 1,300 zip codes.

Shipt added 200 more CVS stores and nearly 50 GNC stores to its reach. Roughly half of the 1,000 new locations offer fresh groceries.

“In addition to the more than two million households that are now able to order from Shipt for the first time, customers will see new store locations available when they open their app to place an order,” Shipt COO Bridget Fruit said in a statement. “Customers in several markets will see some of the greatest impact – from Seattle to Charlotte and Los Angeles to Atlanta. More families from coast to coast can take advantage of Shipt’s incredible same-day delivery service.”

Exec summary

Grocery delivery has slowed since the pandemic highs in 2020, but use among consumers is expected to remain elevated throughout 2021 and beyond. 

In related news, UPS recently announced it was acquiring Roadie, a delivery service provider that partners with retailers.