Over the next few years, the online grocery industry is expected to surge. Currently worth $10.9 billion, the online grocery market expected to grow 9.6% annually through 2019, according to IBISWorld.
Google plans to keep pace with these market developments by testing a same-day grocery delivery service in two U.S. cities later this year, according to a report from Bloomberg. The service will be deployed in San Francisco and another undisclosed city.
The unnamed Google service will be positioned to compete against AmazonFresh and Instacart, businesses that already offer grocery delivery. Google Express, which delivers merchandise and dry foods to customers, will power the new service. Whole Foods Market and Costco will partner with Google to help facilitate the delivery process.
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Google Express also is expanding next-day deliveries to five more states in the Midwest: Indiana, Iowa, Michigan, Ohio and Wisconsin.
“Our goal with Google Express is to offer a great shopping experience and connect people with their favorite stores,” said Brian Elliott, General Manager of Google Express, who will spearhead the deployment of the new grocery service. “We’re very excited to be further expanding our efforts, making it easy for over 25 million people in the Midwest to get things they need from stores they love — delivered overnight.”
