Ocado plans new fulfilment centre in Spain to support partner Bon Preu
Ocado Group PLC on Wednesday said it has agreed with its partner in Spain to build a customer fulfilment centre near Barcelona, saying the cost efficiencies this will bring will provide ‘a pathway to fully-costed online grocery profitability’ for the venture.
Hatfield, England-based Ocado is an online grocer in the UK in a joint venture with Marks & Spencer Group PLC. Outside the UK, it licenses its grocery delivery technology, utilising both its in-store fulfilment solution and customer fulfilment centres.
Ocado’s deal with Catalan firm Bon Preu Group was its first international partnership, signed in 2017. Since going live in 2018, the venture has used Ocado’s in-store fulfilment solution. Bon Preu operates 138 Bonpreu supermarkets, 60 Esclat hypermarkets, and 14 minimarkets.
However, Ocado said the planned new CFC in Parets del Valles will bring the ‘significant cost efficiencies’ of its robotic automation. It didn’t provide a timetable for the construction and opening of the new centre.
Ocado shares were down 0.2% to 244.10 pence early Wednesday in London.
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