Phoenix-based Sprouts pursues more home delivery with Instacart deal
PHOENIX — Phoenix-based grocery chain Sprouts will expand its home-delivery service by teaming up with Instacart, starting Tuesday in the Valley and Tucson.
The farmers market, which has nearly 300 stores spread across 15 states, will roll out more delivery in other areas over the coming year.
The kickoff in Arizona will be limited to select zip codes.
The move comes six months after online retail giant Amazon announced it was buying upscale natural-foods market chain Whole Foods, a rival to Sprouts.
“We are excited to respond to customer demand for fast, convenient home delivery of their favorite Sprouts products in all of our major markets across the country,” Sprouts Chief Executive Officer Amin Maredia said in a stateement.
His company also has a delivery deal with Amazon Prime Now in eight cities. That agreement will remain in effect.
Delivery has become a critical area for retailers as customers want convenience. Target, for example, recently announced it would buy grocery delivery company Shipt.
Instacart promises same-day service within two hours and sometimes in as little as one hour. The company was founded in San Francisco, California in 2012.
Customers can place their orders online or through the app. The first delivery will be free if the order reaches a set spending total.