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Sainsburys Complete System Failure
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I highly doubt they only make a few pounds per year from each customer that orders online. I imagine a healthy chunk of the cost is covered by the delivery charge. Plus the ratio of home delivery costs to turnover will likely be relative to a stores turnover versus the £500k/yr store!
What you are not taking into account though , is that not every Sainsbury's store operates a delivery service.
I have used Sainsbury's online shopping once and when the driver turned up I asked which branch he came out of. He came from a branch 15 miles away. I have a store 1/2 mile from my house, another 2 within 3 miles. I remarked that this was quite a distance, his comment back was that it was the only store in a 20 mile distance, that had a warehouse and van parking that could cope with the system. Most of the stores only had space to get 1 40' lorry in the yard at a time, no space for vans . Also no space in warehouse for delivery dept/packing dept. It is same with Asda, have a store 1 mile away, but shopping comes from 5 miles away, tesco's 2 miles away, but shopping comes from 7 miles away.
Therefore fuel costs will be higher, for travelling further, not everyone in a certain patch wants their shopping on a certain day/time. Maybe if they offered discounted delivery charge if you purchase in your specific post code sub district, you would have a regular call and they would save fuel costs0 -
cornishqueenie wrote: »That isn't the point - it is Sainsbury's fault - their error - my car has broken and there are no buses
How is it Sainsbury's fault that your car is broken and there are no buses? I'm sure there are other shops you could get to. What did you do before online shopping? I'm sure you didn't starve.'The More I know about people the Better I like my Dog'
Samuel Clemens0 -
Has anyone heard what caused the problem?
was it another supermarket or did it just fail?0 -
I highly doubt they only make a few pounds per year from each customer that orders online. I imagine a healthy chunk of the cost is covered by the delivery charge. Plus the ratio of home delivery costs to turnover will likely be relative to a stores turnover versus the £500k/yr store!
The delivery charge is as little as £3, some slots are free, that won't even cover the diesel, let alone the pickers and the drivers.
Really, they make no profit from home delivery. My OH used to run Asda HD it always run at a loss. The stores are caught in a catch 22, they all do it because the others do, if one stopped they all could but none of them will be the first to stop.
A bit like opening on boxing day, they run at a loss, but they don't want to be the only ones not open.Accept your past without regret, handle your present with confidence and face your future without fear0 -
peachyprice wrote: »The delivery charge is as little as £3, some slots are free, that won't even cover the diesel, let alone the pickers and the drivers.
Really, they make no profit from home delivery. My OH used to run Asda HD it always run at a loss. The stores are caught in a catch 22, they all do it because the others do, if one stopped they all could but none of them will be the first to stop.
A bit like opening on boxing day, they run at a loss, but they don't want to be the only ones not open.
Sorry, I don't believe this. (Not saying you're making it up, of course, just that the inferences you draw are suspect.)
They charge as much for most deliveries from a couple of miles away as couriers charge for deliveries from the other side of the country.
OK, you are no comparing like with like but it gives you some idea of the latitude they have in their pricing. Each van will deliver to a group of addresses in a small area so even if it has to travel a few miles from a store the average mileage per customer will be quite small.
My guess is that they try and run the delivery service at around break even and just get their profit from the sale of the goods involved.There are two types of people in the world: Those that can extrapolate information.0 -
cornishqueenie wrote: »That isn't the point - it is Sainsbury's fault - their error - my car has broken and there are no buses
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Sorry, I don't believe this. (Not saying you're making it up, of course, just that the inferences you draw are suspect.)
.
Believe it or not, it's no skin off my nose, but it's the way it is.Accept your past without regret, handle your present with confidence and face your future without fear0 -
peachyprice wrote: »Believe it or not, it's no skin off my nose, but it's the way it is.
Correction: It's the way you think it is.
Logic and a few basic calculations suggest otherwise.
There are two types of people in the world: Those that can extrapolate information.0 -
pulliptears wrote: »
It's going to be bloody expensive getting a cab all the way from the US to deliver your groceries.There are two types of people in the world: Those that can extrapolate information.0 -
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