Loblaw poised to try click and collect
Loblaw says its Richmond Hill, Ont. supermarket will be the first of its stores to test click and collect, allowing shoppers to buy groceries online, then pick up at the store.
No opening date has been set but the suburban Toronto outlet (on the aptly named High Tech Road) now has a drive-through (pictured) that will allow customers to pick up their groceries and have them loaded into their cars.
The red-coloured area includes space for four cars.Each has an intercom with a sign instructing shoppers to buzz staff, who will then bring out the groceries to the car.
"We're excited by the prospect of offering busy customers another option to complete their shopping, saving considerable time in the process," a Loblaw spokesperson told Canadian Grocer.
READ: Loblaw plans click-and-collect grocery pickup
Loblaw’s former president, Vicente Trius, told analysts in February that Loblaw would run a click-and-collect test in three grocery stores in the Greater Toronto Area this year.
The company recently posted job openings on its website for the program.
“Call it epic and ground breaking, but we see ‘Click & Collect’ as defining a new way to serve our customers,” reads the posting.
The openings were for full- and part-time concierges on a contract basis to lead a team of personal shoppers and ensure online orders are fulfiled on time. Loblaw was also seeking part-time personal shoppers who “will fulfil customers’ online grocery orders by shopping in-store with the care and attention as though you were shopping for your own groceries.”
READ: Just driving through: a new way to sell groceries?
On Wednesday, several people were observed working inside a branded "Click and Collect" room, situated inside the front of the Richmond Hill store. The room had in it stacks of empty bins, a computer and what appeared to be a refrigerator to keep perishables cool.
Click-and-collect programs have gained popularity in the U.K. and France, and are considered a more profitable way for grocers to sell food online in comparison to delivering door-to-door.
A McKinsey & Co analysis last year showed that the pickup model offered up to a 20% increase in margins over home delivery, though the average basket size tended to be smaller.
In the U.K., Tesco operates Click & Collect Groceries at more than 250 locations. The service is free for purchases that cost more than 25 pounds. In addition to pickup points at its grocery stores, Tesco is also opening collection points in local areas.
In France, one in five shoppers report having used click-and-collect services from grocery chains such as Carrefour, Casino and Leclerc. Leclerc, which has some 325 pickup locations in France, reported a 68 per cent hike in click-and-collect sales a year ago.
PHOTO GALLERY: Click-and-collect shopping around the world
In Canada, the Longo’s-owned Grocery Gateway combines online grocery shopping and home-delivery.
Overwaitea, meanwhile, launched click-and-collect at three Save-on-Foods locations in B.C. in September. Customers can also opt for home delivery
Overwaitea is currently advertising for a personal shopper for online shopping for a South Surrey store. The posting notes shifts could start as early as 4 a.m. and there is the possibility of graveyard shifts.
Amazon.com Inc. and Walmart also offer food e-commerce in Canada but fresh foods are unavailable.