Jumbo will not make any announcements about the financial side of the collaboration. Well say Ton van Veen, financial director of Jumbo, that the Brabant supermarket chain is also investigating other forms of cooperation, such as combining supermarkets and ‘dark stores’, the warehouses from which Gorillas supplies its bicycle couriers or taking an equity interest “in the Dutch and Belgian entity of Gorillas, or the European branch.”
With the collaboration, Jumbo is taking the flight forward. Annual figures published today show that Jumbo Group saw consumer turnover grow by 2% last year to €9.9 billion. The online activities grew by 30% to a turnover of approximately €650 million. But Jumbo is not going fast enough. To meet the explosively growing demand for delivery among the public, Jumbo opened no fewer than 10 new delivery hubs last year and 4 more are planned for next year (bringing the total number of regional delivery hubs to 20). Home delivery of groceries ordered online is a cost item for the Brabant chain, which is only rising further through the ceiling due to the rising raw material, transport and energy costs.
Jumbo tries to be cautious with price increases so as not to worsen its position relative to competitors, but it is “an illusion to think that the customer will not notice anything,” thus Van Veen.
The emergence of the flash deliverers with their deep pockets (venture capital) seems to offer a solution. According to Van Veen, the market is in any case shifting from supermarkets to e-commerce – ordering online and having it delivered to your home a few days later, and moving on at lightning speed “to q-commerce that delivers within ten minutes. If the customer changes, you can do two things: not getting involved, usually not the best method, or entering into the partnership.” Q-commerce stands for quick commerce: arranging orders quickly.
Flash delivery companies Gorillas, Getir, Zapp and Flink are now active in our country. Instead of building its own fast delivery service, with the associated infrastructure and riders, Jumbo has opted for Gorillas, the fastest growing start-up in Europe. Jumbo will soon deliver various A-brand, Jumbo Private Label, organic and exclusive La Place products to the Gorillas dark stores and the Gorillas couriers will deliver the items ordered by the customer.
In the Volkskrant calls City logistics lecturer and Foodlog columnist Walther Ploos van Amstel called the Jumbo collaboration “a smart move. ‘If you can’t beat them, join them.” The latter is already happening in several countries in Europe. Gorillas has already entered into partnerships with the British supermarket chain Tesco (Great Britain) and Casino Group (France). The French supermarket group Carrefour got into the flash delivery company Cajoo. Meal deliverer Just Eat Takeaway is actively looking for supermarket partners.
We would love to thank the author of this write-up for this incredible web content
From supermarket to quick commerce – Jumbo opts for fast Gorrillas instead of expensive own delivery infrastructure – Foodlog