Morrisons signs supply deal with Amazon
It is said that hundreds of Morrisons products will be available to Amazon Prime Now and Amazon Pantry customers, with Morrisons providing a wholesale supply service to Amazon.
Faced with strong competition from the discount supermarkets, Morrisons sees the deal to increase sales by building on its manufacturing, distribution and wholesale capabilities.
“Today’s agreement is built on Morrisons unique strengths as a food maker. The combination of our fresh food expertise with Amazon’s online and logistics capabilities is compelling,” said Morrisons chief executive David Potts.
“This is a low risk and capital light wholesale supply arrangement that demonstrates the opportunity we have to become a broader business.”
In addition, Morrisons has been in discussions with Ocado to grow its Morrisons.com website business by taking space in Ocado’s new Customer Fulfilment Centre in Erith. If the deal is finalised, Ocado would sell and deliver to customers all over Great Britain.
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