Dive Brief:
- Shipt announced on Thursday it has partnered with Walgreens and 7-Eleven, marking a large expansion for the Target-owned delivery company that increases the number of retail locations where its service is available by more than 40%.
- The service will launch nationwide in more than 6,300 stores for the health and wellness retailer and nearly 6,450 of the convenience chain's locations.
- Shipt is bringing on the two retailers and growing its U.S. presence as rivals like Instacart diversifies its retail offerings while gaining ground across the country.
Dive Insight:
Shipt said its addition of Walgreen and 7-Eleven marks the largest number of stores it has added to its marketplace at one time.
“Located on corners of nearly every major market in America, these two powerhouse brands are incredible complements to our marketplace, bringing customers even more variety and product categories while driving added convenience for each brands’ shoppers,” Rina Hurst, Shipt’s chief business officer, said in a statement.
Shipt said it is working with the two retailers on customer promotions, without providing more details, to encourage customer adoption. The company is joining the roster of delivery companies that already partner with Walgreens and 7-Eleven, including Instacart, DoorDash and Postmates.
Shipt, which currently works with more than 140 retailers, has focused on scaling in recent years. The company has tripled its network of shoppers since 2020, it noted in the announcement. Last September, Shipt said it made its largest expansion in three years with the addition of nearly 1,000 stores and more than 2 million households to its coverage area.
Facing competition from Instacart, whose platform covers more than 85% of U.S. households, and delivery companies like Uber and DoorDash that are branching beyond restaurant delivery, Shipt has taken several steps to differentiate itself. Most notably, Shipt added a feature last summer that lets customers pick their "preferred" personal shoppers. It has also added a dietary preferences tool and is working to provide its workforce to retailers for delivery orders made through Wynshop’s platform.
Walgreens and 7-Eleven further build out Shipt's range of retailers for customers to choose from. In recent months, the delivery company has teamed up with a variety of retailers, including Rite Aid, PCC Community Markets and Abercrombie & Fitch Co.
via https://www.aiupnow.com
Catherine Douglas Moran, Khareem Sudlow
