Why grocery delivery start-ups are doomed

by time news

According The Atlantic, the urge to resurrect home grocery delivery resurfaces at regular intervals in the United States, after several resounding failures since the turn of the millennium. “Even today, some entrepreneurs and venture capitalists still seem persuaded […] that going to the supermarket is a chore that must be rid of at all costs.” Fundraising is multiplying and a host of young companies are opening warehouses, poaching executives from Amazon or Uber, expanding their catalogs and recruiting small armies of employees, “hoping to become the one and only delivery guy on the market”.

However, everything tends to show that these companies are not profitable. “The observation is fascinating: while the almost instantaneous delivery of groceries to homes over a vast territory is obviously a calamitous idea, the

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