Ocado are enjoying a very polite revolution
When you think of a revolution, you probably think of people with a bandana across their face, chucking tear gas canisters back at the police, or a lot of people with a lot of flags made out of bedsheets.
Not Ocado boss Tim Steiner. He thinks of people driving lorries carrying a load of potatoes and fish fingers in the back.
He reckons that Ocado is at the forefront of the "online grocery revolution" which is apparently taking place right now, although it feels like getting your shopping delivered is rather old-hat these days. Either way, Steiner is pleased because his company is doing rather well and after posting their first full year profit, this revolution will only help Ocado to stay ahead of the curve.
They posted an adjusted pre-tax profit of £10.1m in the year to 30 November compared with £3.8m loss last year, with gross retail sales up 15.3% to £972.4m. Who would have thought it? A revolution that makes money!
Steiner dramatically says that the "seismic" changes taking place in the market is only going to help them further: "Technology is going to get better, the relative merits of shopping online versus going in store are going to grow and stores are going to come under more competitive pressure."
"Stores are going to have to work out how to cut costs – mainly by reducing service and range. But while they reduce their range we are increasing ours. These changes are going to lead to a very big channel shift."
And Ocado customers just thought that they were being a bit lazy. UP THE PEOPLE!
TOPICS: High Street News