Ocado is a British online supermarket that describes itself as ‘the world’s largest dedicated online grocery retailer’. In contrast to its main competitors, the company has no chain of stores and does all home deliveries from its warehouses.

Ocado’s products include own-brand groceries from the Marks and Spencer supermarket chain as well as their own Ocado brand, but also a selection of name brand groceries and other items, including flowers, toys and magazines. Until September 2020, Ocado sold Waitrose products alongside their own, however, the 10-year supply and branding deal signed in 2010 expired and Ocado began a joint venture with Marks & Spencer instead. Deliveries were temporarily suspended following a “surge in demand” when the venture was first announced.

Since January 2014, Ocado has provided the website, warehousing and delivery services for one of their main grocery rivals Morrisons supermarkets, allowing them to operate online using Ocado’s network of depots to deliver Morrisons groceries to online customers. The fulfilment of Morrisons.com grocery website customer orders comes from Ocado’s Dordon Customer Fulfilment Centre (CFC) in the Midlands, with deliveries brought to the customer’s doorstep via Morrison’s liveried fleet. Morrisons made an initial capital payment of up to £170m to Ocado to acquire the Dordon site and associated mechanical handling equipment, as well as a licence and integration fee. A further £46m was invested to expand Dordon in order to accommodate Morrison’s range, integrate with Morrisons systems and establish a network of delivery spokes. On an annual basis, Morrisons pay service costs and a contribution to research and development expenditure.