Morrisons Increasing Ties with Amazon

Think about competition, new markets, organic & inorganic growth, plus innovation and efficiency:

Wm Morrison has accelerated its push into online by deepening its ties with Amazon and sealing a tie-up with Deliveroo to launch a hot-food delivery service this month.

David Potts, chief executive of Morrisons, told The Times in his first interview since he took the job, that its “Morrisons at Amazon” service, which offers one-hour deliveries, was in eight cities and would be in twenty by the end of the year.

The Morrisons boss also revealed that the supermarkets group would open a store in Canning Town in east London at the end of the month with a new Market Kitchen service, so that hot food could be delivered to local customers through Deliveroo. He said that the ultra-fast service had proved popular with customers.

The arrangement was possible after Morrisons renegotiated its contract with Ocado, in the wake of a fire at its warehouse in Andover, Hampshire, in February, Mr Potts said. “We can work with any other digital or online provider in the world now.”

When asked how close Morrisons could get to Amazon before a takeover became likely, Mr Potts, 62, said that it was “a question for them”. However, he added that “both companies want to explore innovative, different ways of serving customers better in the UK”.

He also said there was a possibility that Morrisons could provide groceries when Amazon opens its till-free Go stores in the UK. Morrisons has had a relationship with Amazon since 2016 selling fresh, chilled and frozen food on its Fresh and bulk Pantry delivery service.

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