"We're growing at a healthy rate,"
"It's almost about future-proofing, if we needed more customers with the new facilities. [And] it's time. We've always handled these things internally so it's just times to hand it over."
"To reach scale, we see [Ocado] needing to acquire customers more aggressively through a combination of price and marketing investments, likely to the detriment of profitability"
Ocado is close to appointing an agency to manage media planning and buying after a review started in January. The company has historically focused on digital advertising handled in-house but recently appointed Now for creative and is moving budget toward broadcast. The change is linked to a major investment in a new flagship distribution centre expected to double order capacity to over 600,000 per week and to improvements in online infrastructure. Ocado recorded 13.1% sales growth in the latest quarter, while UBS warns growth in the UK online grocery market is slowing and says Ocado must acquire customers more aggressively, likely at a cost to profitability, and grow weekly orders about 13% annually through 2021 to reach scale.
Read at The Drum
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