Waitrose sets out £1bn online shopping plan as it prepares for life without Ocado

Sebastian McCarthy
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The upmarket grocer has signed a deal with Today Development Partners (TDP) (Source: Getty)

Waitrose has revealed a £1bn plan to bolster its online operations today as it prepares for life without Ocado.

The upmarket grocer has signed a deal with Today Development Partners (TDP) in a bid to treble the size of its online business over the next three years, as its 20-year relationship with delivery giant Ocado nears its end.

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The new partnership agreement with TDP, which is jointly-led by Ocado co-founder Jonathan Faiman, involves the development of three new Customer Fulfilment Centres (CFCs) with state-of-the-art technology, Waitrose said.

Waitrose has moved its retail director Ben Stimson to the new role of digital director with immediate effect as part of its plans to create a £1bn turnover business at Waitrose.com.

Today's partnership, first reported by Sky News, comes several months after Waitrose's delivery partner Ocado said it had struck a new deal with Marks and Spencer, in a move that spells the end for its ties with Waitrose from next September.

Rob Collins, managing director of Waitrose & Partners, said: "Waitrose.com is a popular and efficient home delivery service that is already growing strongly ahead of the market. The plans announced today represent a clear commitment to achieve rapid step-change in Waitrose.com’s capacity and capability as we build a modern, well-invested digital business that is fit for the future."

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Jonathan Faiman, co-founder and chief executive of TDP, said: "I am more excited about this new venture than anything I’ve done in my career. I am delighted and privileged to be back within the John Lewis Partnership family and we will deliver for Waitrose.com customers the world’s best digital home delivery service."