Google has made its foray into fresh grocery delivery, initially offering the service to consumers in San Francisco and Los Angeles, according to the Wall Street Journal.
The new venture is being operated by the online giant’s Google Express arm, which partners with retailers in US cities to deliver goods to customers within hours of online orders being placed.
Opposed to fellow e-commerce companies that set up their own grocery supply, storage and distribution networks, Google’s move to deliver directly from its retail partners, which include cash-and-carry giant Costco and Californian-based grocer Vincente Foods, means it will lower overhead costs and virtually eliminate the risks associated with fresh produce inventories.
To cater for the grocery sector, Google Express will slash its estimated delivery time from four hours to two hours on fresh items. The minimum spend will also jump from US$15 to US$35.
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