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Online grocer AI simulator

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Online grocer

An online grocer is a supermarket or grocery store that allows ordering via websites or mobile apps. The order can either be collected by the customer or delivered to the customer by drivers engaged by the grocer, a food delivery service, or by delivery drones and robots.

For brick-and-mortar stores that have online ordering, customers can place orders online and pick up their ready orders in the store on their way home. In-store pickup—sometimes termed "click & collect"—is typically offered for same-day shopping. It is usually less expensive than delivery, and can be done at a time of the customer's choosing. This option is popular in rural areas. It is also useful for customers living outside of the store's local delivery area.

Most local online grocers have their own drivers. The most common type of personal delivery involves storing grocery inventory in a warehouse to deliver to customers once orders are placed. Another type of personal delivery which is less common is based on just-in-time business in which there is no warehouse or inventory. In this type of delivery, customers place orders for next-day delivery. The online grocer shops for the groceries on the morning of the delivery day.

Some grocery fulfilment centres are set up as dark stores. Online-only grocers typically have warehouses or distribution centers nearby, to allow local shipping of refrigerated items.

Online grocers with a large regional or national delivery area may ship groceries using courier services. If the order contains cold or frozen items, this involves "flash freezing" the goods and pack them into special shipping containers.[citation needed]

Companies have experimented with automated delivery modes including drone delivery and robots. For instance, in Fall 2016 Washington, D.C. approved a trial run of rolling delivery drones produced by Starship Technologies. The earthbound robots are similar to wheeled coolers and carry around 40 pounds of groceries.

The online grocer technology platform could be developed in-house, or a third party's platform could be re-used and customized to reflect the company brand and provide unique features. In some cases, all management and support tasks are being outsourced to the platform provider.

In the United States, in 2017, Amazon.com sold $2 billion worth of groceries online. It had the largest market share, 18%, followed by Walmart. Amazon acquired Whole Foods Market to help accelerate growth efforts in the online grocery sector. Other companies with substantial market share in the US are Target and Instacart.

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