The UK grocery home shopping market is predicted to grow to more than £14billion by 2018 from £6.5billion in 2013.
This tremendous growth presents both opportunities and threats to businesses attempting to balance innovation, customer service, quality and cost.
Early adopters of online ordering and home delivery have found that, unlike traditional store growth, growing volumes do not always present economies of scale. Some early adopters claim to be profitably operating home delivery across the UK, although serious doubts exist as to whether this claim is based on fair cost allocation.
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