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Tesco's a no-go for Ocado's groceries to-go show

Waitrose delivery venture turns its back on Tesco's successful formula...

By Sonya Rabbitte

Published: 27 March 2002 16:32 GMT

Ocado -an online shopping service backed by Waitrose - is to ditch in-store order fulfilment in favour of the warehouse model favoured by defunct e-grocers Webvan and Kozmo.

It claims that supermarket giant Tesco - which fulfils online orders by picking from store shelves - has to substitute 15 per cent of any one order because the requested goods are not in stock in stores.

Ocado claims its new warehouse will store as many products as 20 average-sized supermarkets, allowing it to expand its delivery service to the greater London area.

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