Dollar Tree’s Family Dollar taps Instacart for same day delivery

InstaCart employees fulfill orders for delivery

Patrick T. Fallon | Bloomberg | Getty Images

Third-party delivery company Instacart said Thursday it will begin making same-day deliveries for Dollar Tree-owned Family Dollar, a discount chain that has grown during the pandemic.

The company will deliver online purchases to customers’ homes within an hour from the dollar retail chain’s more than 6,000 locations.

“Whether it’s stocking up the fridge or pantry, upgrading a home office or virtual school space, or buying everyday necessities for the home, we know value and affordability are paramount for people across the country”, said Chris Rogers, vice president of retail. at Instacart, in a press release.

Major retailers including Bed Bath & Beyond, Dick’s Sporting Goods and Rite Aid have used Instacart as a way to track online orders during the pandemic and used it as a faster alternative for customers who would otherwise have to wait for a package during the pandemic. pandemic. the love of the holiday season.

As many other retailers saw sales decline during the pandemic, dollar stores such as Dollar Tree and Dollar General have continued aggressive expansion plans and had a growing customer base as people searched for value during the recession. Dollar Tree’s Family Dollar sells many household items, such as food and stationery, which demand has increased as people spend more time at home.

Same-store sales for Family Dollar increased 6.4% in the third quarter ending October 31, 2020.

Mike Witynski, Dollar Tree CEO, called the new partnership with Instacart “another example of our efforts to better meet the evolving needs of our Family Dollar customers.”

However, Instacart is under pressure as some retailers train their own employees to collect and pack orders online instead of using the third-party service. Walmart recently announced plans to convert some of its stores into local centers that use automation and store associates to order groceries online.

Last month, Instacart said it planned to cut about 1,900 job cuts for shoppers.

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