Wegmans Partners With Instacart for Order Deliveries

Wegmans is the latest supermarket chain to partner with Instacart, a grocery delivery startup. Instacart, which has made a name for itself by proving its model in dense, urban areas, will be testing out a suburban area for the first time with this new partnership. "Wegmans is known to be one of the highest-quality grocers and, as such, it typically does everything in house,” said Nilam Ganenthiran, Instacart’s chief business officer. “So we are very grateful and proud.” Wegmans deliveries will start in the Washington, D.C. suburbs of northern Virginia and Maryland.

Total Retail's Take: While recently making headlines for less-than-favorable reviews, it doesn't seem to stop Instacart's growth. While this deal with Wegmans can help boost Instacart's growth, some are concerned it may put pressure on the five-year-old company. Earlier this year, Instacart raised around $400 million, and a large part of that is allocated to customer acquisition. Its partnership with Wegmans is aligned with that goal.