Fox Business reports that Costco is upgrading its home delivery options, offering “two-day delivery on shelf-stable food from its own website,” while also expanding its “fresh-food delivery partnership with Instacart, a startup that delivers groceries from retailers in one day. Both services let Costco members buy food online at lower prices than available under previous options,” the story says.

CFO Richard Galanti says that while the company still prefers “you to just come in and buy and take it home,” the company would rather offer delivery and lose the in-store business to itself than to the competition.

According to the story, “The new Costco.com delivery service, dubbed CostcoGrocery, will offer free shipping on around 500 products for orders of at least $75. Its Instacart partnership will sell around 1,700 grocery products like eggs, meat and fruit, with free same-day delivery on orders of at least $35.
Both Costco.com and Instacart previously sold some Costco groceries, but only at higher prices. Prices under the new services will still be higher than available in stores.”

KC's View: One of the things that retailers have to realize is that it doesn’t really matter what they want … there is a growing move on the part of shoppers to a preference to have certain kinds of products delivered, and retailers have to adapt or resign themselves to losing pieces of their business.