Schnuck Markets, Inc is officially leaning into 30-minute delivery with its “Schnucks Now” offering focused on smaller orders and fast delivery.
The new service allows customers to shop from a limited assortment of fresh groceries, pantry, household essentials, alcohol, meals, and snacks, with delivery in as fast as 30 minutes with no priority fees and lower delivery fees.
The service is available to customers via the Schnucks Rewards App and the Instacart Convenience Hub, an Instacart marketplace product feature.
This is yet another step in the delivery space for St. Louis-based grocer, which has offered delivery and pick up options for years, additionally partnering with DoorDash on prepared meal delivery in March 2021. That partnership was expanded in July to 25 of the Midwestern supermarket chain’s locations in Missouri, Illinois and Indiana.
SN spoke with Schnucks Senior Director Digital Experience Chace MacMullan about the strategy behind Schnuck’s Now.
Supermarket News: Why now? And how long had this been in the works?
Chace MacMullan: It's been something we've been talking about for a while. We partner with Instacart and together we’re always looking at different ways to innovate. Reach the customers where they are, and where they are in the delivery schedule. where they are, so you know. Obviously being a part of having e-commerce. We’ve been doing delivery and pick up for many years now, but we also know that there are always those last-minute emergencies or sometimes just more convenience-driven items that the customers are looking for. Or so being able to launch Schnucks Now which allows customers to get certain items for 30 minutes or less and as well as save them some money on service fees and delivery fees was a great thing to offer.
SN: And it’s a limited selection of items—what are some of those items and what drove that decision to limit them?
CM: So, it really ranges, it's not the full selection of the store, but rather it's a pared down item list, so everything from fresh items such as bananas and strawberries to pantry items. Alcohol also, so beer, wine. As well as snacks and prepared foods. So, when you think of that kind of core list of items that the people are looking for in any given day, it’s not every brand or every last variety, but it’s definitely enough for what people are looking for.
SN: And how did you decide which items? Was that based on what you were seeing most frequently in people’s carts? Does that information come from Instacart?
CM: It’s a combination. We're also looking at our overall e-commerce orders and what people are really ordering there, right? So, the whole store is available obviously, but you know you know 70-80% of those items are pretty similar, right? It is the milk, the bread, the eggs, the chicken. The chips, the crackers, that type of stuff. So really going through customer data that we had. And then going, you know, this is what people are consistently looking for and then also some experience of just you know, what are those last-minute items that people might be looking for as well.
SN: Does the item selection also have to do with being able to make good on the promise to deliver in 30 minutes?
CM: Absolutely. There is a minimum order amount, so it has to be $10 or more, but you know, again, we're seeing this as more of a fill in shop. So for the person in the store who's picking that, it's a lot less—fewer items than it would be with a normal kind of e-commerce order. So that pick time really helps us then get those orders out the door quickly in 30 minutes or less.
SN: And how do you see this playing into the larger digital experience strategy for Schnucks?
CM: We're constantly looking to see what the customer wants from us. Whether that's a great in-store experience we already offer, or through all of our omnichannels. And really, combining our rewards program too with a lot of these offerings so that customers can get the great deals, and having them delivered in the convenience section. But overall, we're constantly evolving and innovating. Again, whether that’s in-store, how to save people time and money there, or online via different e-commerce channels.
Does your store or company offer 30-minute delivery? If yes, what kind of traction is it getting? Let us know in the comments.