UNFI to Expand Grocery Order and Delivery Service for Independent Retailers with DoorDash Relationship

Rhea-AI Summary

United Natural Foods (NYSE: UNFI) has established a reseller agreement with DoorDash (NYSE: DASH) to enhance on-demand grocery delivery for independent retailers across the nation. This collaboration enables local grocers to utilize DoorDash's logistics network, allowing consumers to order groceries without minimums or time slots. The initiative aims to drive sales for independent retailers by improving online access and increasing customer loyalty. UNFI's Professional Services offers over 150 customizable solutions to assist grocers in navigating the evolving market.

Positive

• Collaboration with DoorDash enhances on-demand grocery delivery capabilities for independent retailers.
• Retailers gain access to DoorDash's extensive logistics network, improving customer access.
• Increased convenience may lead to greater customer loyalty and higher basket sizes.

Negative

• None.

PROVIDENCE, R.I.--(BUSINESS WIRE)-- United Natural Foods, Inc. (NYSE: UNFI), today announced it has entered into a reseller agreement with DoorDash (NYSE: DASH), the nation’s leading last-mile logistics platform, to bring on-demand grocery delivery solutions to independent retailers nationwide through the DoorDash marketplace.

UNFI’s arrangement with DoorDash will give local grocers the opportunity to leverage the DoorDash platform to build an ecommerce and delivery offering that meets the needs of their customer base while enabling UNFI to expand its end-to-end and last-mile-delivery services to its suite of eCommerce solutions for retailers of all sizes. With grocery delivery through DoorDash, consumers can order their groceries and essentials on DoorDash’s marketplace app and website with no time slot, queues, or minimum order size required.

“Our relationship with DoorDash will make it easier for independent retailers to offer online grocery ordering and delivery. We know demand for this functionality continues to be very strong, and to remain competitive retailers need solutions that offer simple installation and avoid extra labor costs,” says Matt Whitney, UNFI’s Chief Strategy and Innovation Officer. “As the leading last-mile logistics company, DoorDash already has the extensive logistics network in place for grocers to leverage.”

This agreement aims to help independent grocery retailers grow their businesses, attract new shoppers and retain their current customer base with the ability to service more online customers in hard-to-reach areas. The combination of increased convenience and a wider delivery area should drive greater loyalty and increased basket size among online shoppers.

“We are excited to work with UNFI to empower local grocers to build an e-commerce and delivery offering that will give customers access to robust local grocery selection on the DoorDash app,” said Fuad Hannon, Vice President of New Verticals at DoorDash. “We are proud to play a part in helping local grocers grow their businesses and helping consumers access convenient, on-demand grocery delivery from their local neighborhoods.”

UNFI Professional Services offers the most comprehensive suite of services for independent retailers in the market today. With over 150 customizable solutions, UNFI Professional Services helps independent grocery retailers succeed by saving them money and simplifying their operations. Services offered range from eCommerce solutions to pricing support and store remodels, allowing retailers to keep pace with the changing landscape of grocery and stay focused on what matters most: their competition and their customers.

About United Natural Foods

UNFI is North America's premier food wholesaler delivering the widest variety of products to customer locations throughout North America including natural product superstores, independent retailers, conventional supermarket chains, ecommerce retailers and food service customers. By providing this deeper 'full-store' selection and compelling brands for every aisle, UNFI is uniquely positioned to deliver great food, more choices and fresh thinking to customers everywhere. Today, UNFI is the largest publicly traded grocery distributor in the United States. To learn more about how UNFI is Fueling the Future of Food, visit www.unfi.com.

About DoorDash

DoorDash is a technology company that connects consumers with their favorite local and national businesses in more than 7,000 cities across the United States, Canada, Australia, and Japan. Founded in 2013, DoorDash enables local businesses to address consumers' expectations of ease and immediacy and thrive in today's convenience economy. By building the last-mile logistics infrastructure for local commerce, DoorDash is bringing communities closer, one doorstep at a time.

View source version on businesswire.com: https://www.businesswire.com/news/home/20211014005226/en/

Investor Contact

Steve Bloomquist

952-828-4144

steve.j.bloomquist@unfi.com

Media Contact

Jeff Swanson

952-903-1645

jeffrey.s.swanson@unfi.com

Source: United Natural Foods, Inc.

FAQ

What is the new agreement between UNFI and DoorDash?

United Natural Foods (UNFI) has entered into a reseller agreement with DoorDash (DASH) to provide on-demand grocery delivery services to independent retailers nationwide.

How will the UNFI and DoorDash partnership benefit retailers?

The partnership will enable retailers to offer online grocery ordering and delivery without minimum orders or time slots, attracting new customers and retaining current ones.

What services does UNFI provide to support independent retailers?

UNFI offers over 150 customizable solutions, including eCommerce support and pricing assistance, to help independent grocery retailers thrive in a competitive market.

What impact does the DoorDash agreement have on grocery delivery?

The agreement expands delivery options for independent retailers, improving customer access to groceries and potentially increasing sales.