Online grocery minimum spend

pendulum

bundly wrote: »

Where I live the delivery man told me he makes between 6 and 10 deliveries per hour. He's on minimum wage.

Let me assure you that no Tesco driver has ever made 6 - 10 deliveries per hour on average. I work in one of the busiest stores, our vans go out full (unlike many stores), and the absolute maximum number of customer orders a van can leave with is 16 (payload weight limit, freezer & chiller capacity, scheduler etc). As there are two 'runs' in a full 10 hour shift, a driver will load, then deliver up to 16 orders, come back, reload, and deliver another 16, making for a total of 32 max. And I stress that is max, it's usually much less. One hour is unpaid break, so in 9 hours of paid work, having delivered 32 orders, that averages out at just 3.5 deliveries per hour. Some of those are £25 orders where the 'profit' is only a few measly quid. The whole operation makes a 5 figure net loss per week, as it's astonishingly inefficient.

All supermarkets are in the same boat. The 'profit' from the deliveries doesn't even cover the driver and pickers combined wage, never mind the depressing list of other costs. Those who still shop in the store subsidise online shopping big time.

I get mine delivered... it's great value for money...

PS) The other part of what you say the driver told you is also false, as driving is considered a skilled role in Tesco therefore attracts a premium, thus no driver is on minimum wage.

bundly

Pincher wrote: »

I thought it is well known that home delivery is a big millstone for all the supermarkets. They much prefer that YOU drive in your car to their store and work for free by self servicing.

OK then explain this: Why did the supermarkets, of their own volition, create an online grocery delivery service?

Why would their highly-paid marketing financial advisors recommend it? Why would their accountants approve it? Why spend hundreds of thousands of pounds setting it up, if they thought it a millstone?

Your assertion makes no sense because it's not as though they were forced by the govt or anyone to offer deliveries!

bundly

pendulum wrote: »

Let me assure you that no Tesco driver has ever made 6 - 10 deliveries per hour on average.
PS) The other part of what you say the driver told you is also false

Perhaps he was just having a moan and exaggerated everything for effect. If he brings my final Tesco delivery, I will challenge him!

bundly

It seems to me, on reflection, is that the supermarkets started the delivery service and offered it cheaply and with a low minimum spend in order to habituate people to it and get them hooked and reliant.

Having done that, they then ALL put up the prices and the minimum, and 99% will pay it because they are hooked.

In this respect, it's a stroke of genius.

Pincher

It's a loss leader, that's not disputed.

No doubt it made sense when they assumed people will order £200 worth per delivery.

jorivi

To change the minimum spend to 40. Fine.

To do it during the contract period. Not fine.

I signed up for one year delivery saver were the minimum purchase was 25 pounds. I might have signed up with ASDA, Sainsbury, Ocado, Waitrose or even gone to Iceland if the offer was not made. Now they use some kind of "term and condition" that never was advertised in the same way as the offer, to justiy changing the deal, and asks me to get lost if I don't like it.

This is clearly ment to get my custom through deception and to get a competitive advantage towards ALL other supermarkets.

The only fair way would be to

1) keep the rate at 25pounds until it expired
2) cancle all delivery savers and ask people to sign on to the new terms and conditions if they agreed

This is a case for the CMA. How do we get their attention?

sarah1972

bundly wrote: »

It seems to me, on reflection, is that the supermarkets started the delivery service and offered it cheaply and with a low minimum spend in order to habituate people to it and get them hooked and reliant.

Having done that, they then ALL put up the prices and the minimum, and 99% will pay it because they are hooked.

In this respect, it's a stroke of genius.

Sainsburys is still £25 and so is Asda ?

bundly

sarah1972 wrote: »

Sainsburys is still £25 and so is Asda ?

I logged into both of them just now to check.

Sainsbury: if your basket totals under £40 then your delivery charge is £6.95.

Tesco: if your basket totals under £40 then a £4 fine is applied, plus delivery charges.

Asda: Delivery pass has a £40 minimum spend. One-off shop has £25 minimum for Hastings. However, on the site it says: "Is there a minimum order amount?
The minimum order amount is £25 for the majority of our stores. This does however vary in certain parts of the country and will be displayed once you log in to your account."

Sorry if I made a mistake in previous posts.

sarah1972

bundly wrote: »

Nope. I logged into both of them yesterday.

Sainsbury: if your basket totals under £40 then your delivery charge is £6.95.

Asda: Delivery pass has a £40 minimum spend. One-off shop has £25 minimum.

Sorry if I made a mistake in that.

So don't do a delivery pass with Asda, do a normal shop, pick a £1 slot?

Yes Sainsburys is £6.95 if its under £40

Former_MSE_Paloma

Hi,

I've just been in touch with Asda's press office to confirm that the min. spend is £25 but for delivery pass holders it's £40 as stated in the article. It has confirmed this is correct. Many thanks, MSE Paloma.