What’s the ‘STORY’ with Jet.com’s grocery store?
It was nearly a year ago today that reports surfaced on Jet.com’s pilot of fresh grocery deliveries in communities along the East Coast. The latest news is that Jet, since being acquired by Walmart, is opening its first physical store location, albeit a temporary location, in New York City.
Jet’s store will be housed inside STORY, a 2,000 square-foot retail concept founded by Rachel Shechtman, a former brand consultant for Kraft and TOMS shoes. STORY changes what is sold within its walls every four to eight weeks. Ms. Shechtman’s concept aspires to take the point of view of a magazine while constantly changing in the manner of an art gallery.
Jet’s, billed as Fresh STORY, will sell a number of items available through Jet including organic blueberries and carrots. These and other foods will be displayed with complementary items sold on the site such as ceramic bowls and a cooler with a built-in blender. There will be special guest appearances during Jet’s run, including chef Mario Batali, sharing food stories and recipes, and Bobbi Brown, sharing skin care tips.
Walmart, Jet’s parent, and Amazon.com, its larger e-commerce rival, have invested heavily in promoting their respective online grocery businesses.
On Walmart’s fourth quarter earnings call, CEO Doug McMillon told analysts that the company has benefited from its investment in online grocery. While maintaining that the company’s supercenters are “the best retail format in the world,” he said Walmart would continue to leverage this unique asset with in-store pickup, online grocery and other initiatives.
Amazon, which has invested heavily in its AmazonFresh home delivery service, recently opened its first two physical pickup locations in Seattle. The concept known as AmazonFresh Pickup, which launched in beta mode to Amazon employees, will next roll out as an exclusive, free perk to Prime members. Orders placed by customers can be ready in as quickly as 15 minutes after being placed, according to Amazon.
- Wal-Mart’s Jet.com brings grocery concept to New York, showing how it can take on AmazonFresh – CNBC
- Our Story – STORY
- Will Jet.com’s online grocery pilot crash or soar? – RetailWire
- Does Amazon need bricks to make its online grocery business click? – RetailWire
- Wal-Mart Stores’ CEO Doug McMillon on Q4 2016 Results (Earnings Call Transcript) – Seeking Alpha
- Is Walmart on a roll? – RetailWire
DISCUSSION QUESTIONS: What do you think Jet.com is looking to accomplish with its pop-up inside STORY in New York City? Do you think the pop-up will lead to the opening of permanent physical locations?