Ocado has jumped into the escalating battle for online customers with a flier campaign offering £15 off first-time shoppers’ baskets when they spend more than £75.
Asda recently stepped up the competition with a run of incentive schemes, such as free deliveries and cheap CDs and DVDs, and will double its delivery coverage to 60% of the country this year.
Tesco is still the number one online retailer and can deliver to 96% of the population. But Ocado, which has a partnership agreement with Waitrose, claims to be the UK’s number two. Ocado scooped The Grocer Gold award for best online retailer earlier this month and has recently pushed further north to cover Manchester and Liverpool.
“We have grown sales from zero to £107m in three-and-a-half years,” said chief executive Tim Steiner. “We are currently building our capacity in order to supply a 2% increase in customer numbers every week.”
Meanwhile, Asda has lowered its delivery price again and is offering off-peak deliveries from £2.95 on orders over £50 until July 6.