Starbucks $1B Delivery Secret, Oreos In AI & Amazon's Whole Foods Doritos Gamble | Fast Five
In this week's Omni Talk Retail Fast Five, sponsored by the A&M Consumer and Retail Group, Mirakl, Ocampo Capital, Infios, and Quorso, Chris and Anne discussed:
- Amazon's push to add mainstream brands like Pepsi and Doritos to Whole Foods through ShopBots and Amazon Grocery kiosks (Source: Wall Street Journal)
- Starbucks crossing the $1 billion milestone in annual delivery sales with 30% quarterly growth (Source: CNBC)
- Mondelez investing $40 million in a generative AI tool to slash marketing costs by 30-50% (Source: Reuters)
- Kroger expanding its Uber Eats partnership to integrate restaurant delivery directly into the Kroger app across 2,600+ stores (Source: Chain Store Age)
- Grubhub partnering with Instacart to offer grocery delivery through its platform nationwide (Source: Supermarket News)
And this month, Chris and Anne handed out the OmniStar Award in partnership with Quorso to Justin Weinstein, EVP and Chief Merchandising and Marketing Officer at Giant Eagle, for leading the 95-year-old retailer's bold $100 million "Because It Matters" brand positioning.
There's all that, plus a debate on whether AI-generated ads are the future, why ordering dinner through your grocery app makes perfect sense, and whether hand massages would get Chris into John Lewis for holiday shopping.
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#RetailNews #WholeFoods #StarbucksDelivery #RetailTech #GenerativeAI #KrogerUberEats #RetailPodcast #OmniTalk #Mondelez #GrubhubInstacart #RetailInnovation #CoffeeDelivery
00:00 - Untitled
00:28 - Unlocking Potential in Retail
02:15 - The Rise of Retail Technology
10:04 - The Future of Grocery: Amazon's Whole Foods Strategy
17:40 - Generative AI in Marketing: Mondelez's New Strategy
28:24 - The Rise of Third Party Delivery Services
34:12 - The Convenience of Coffee Delivery
This episode of the OMNITALK Retail Fast 5 is brought to you by the A and M Consumer and Retail Group.
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Speaker AOcampo Capital is a venture capital firm founded by retail executives with the aim of helping early stage consumer businesses succeed through investment and operational support.
Speaker ALearn more@ocampo capital.com hello, you are listening to Omnitalks.
Speaker ARetail Fast Five ranked in the top 10% of all podcasts globally and currently the only retail podcast ranked in the top 100 of all business podcasts on Apple Podcasts.
Speaker AThe Retail Fast five is the podcast that we hope makes you feel a little smarter, but most importantly, a little happier each week too.
Speaker AAnd the Fast 5 is just one of the many great podcasts you can find from the Amitak Retail Podcast Network alongside our Retail Daily minute, which brings you a curated selection of the most important retail headlines every morning and our Retail Technology Spotlight series which goes deep each week on the latest retail technology trends.
Speaker AIt's November 5, 2025.
Speaker AI'm one of your hosts, Ann Mazinga.
Speaker BAnd I'm Chris Walton and we're here.
Speaker AOnce again to discuss all the top headlines from the past week making waves in the world of omnichannel retailing.
Speaker ANow, Chris, before we get into the show, this this thing has been a topic of conversation in our house.
Speaker AEvery dinner that we've with friends over Halloween we talk a lot about artificial intelligence on this, on the show, but I have to ask, have you seen this?
Speaker ANeo personal assistant, human, humanoid robot.
Speaker AIt's $20,000.
Speaker ADo you know anything about this?
Speaker BNo, I haven't, but I'm gonna.
Speaker BI'm gonna quick look it up here as you're talking.
Speaker BYeah.
Speaker BDescribe it to me as I look it up.
Speaker ASo for those listening, it.
Speaker AThis is basically.
Speaker AIt looks so a character out of a horror movie with, like, no face, like a fencing mask on.
Speaker AIt's $20,000.
Speaker AAnd now you can hire them.
Speaker AIt's first round, but, like, you can hire them to do laundry.
Speaker AYou can hire them to, like, do personal tasks.
Speaker AThey can do, like, cleaning tasks.
Speaker ALet your dog out.
Speaker AI mean, whatever you want it to do.
Speaker ALike, you are programming it.
Speaker AIt's the first version.
Speaker ABut, like, people are actually buying these things.
Speaker AAnd since you have an Alexa, like, this is where we were getting with our.
Speaker AYeah.
Speaker ALike, this is the next step past Alexa.
Speaker APerhaps.
Speaker AI won't even let an ALEXA in my home.
Speaker ASo I have to know, like, as somebody who lives and dies by Alexa, would you go to this next level?
Speaker ALike, if.
Speaker AIf you were gifted a Neo robot, would you bring it into your home?
Speaker BOh, 100%.
Speaker BLooking at it.
Speaker B100%.
Speaker BI would add, who let the dogs out?
Speaker BNeil the robot.
Speaker B100%.
Speaker BYeah.
Speaker BNow, granted, seeing what I'm seeing online as you're talking about, this is the creepiest freaking thing I've ever seen in my life.
Speaker BIt's like a horror movie waiting to happen.
Speaker BLike, when NEO goes bad, you know, or Neo goes rogue, but yes.
Speaker BYeah, man, 2020.
Speaker AOr when Neo accident accidentally shows up in your room in the middle of the night and is, like, hovering over you, waiting for a command, like Adam.
Speaker BGoldberg and Friends with Chandler, like, just staring at you.
Speaker BYeah, but, like.
Speaker BBut I mean, $20,000 seems really steep, but, like, if the value's there and it can clean my house and the pictures online of.
Speaker BAre it scrubbing my toilets?
Speaker BYes, please.
Speaker AI mean, oh, my gosh.
Speaker BMaybe if the price came down and the value in the utility was there.
Speaker BYeah.
Speaker BAnd I was confident.
Speaker BWas it going to, like, you know, attack me in the middle of the night while I'm sleeping?
Speaker BYes.
Speaker BAnd I. I imagine I don't have safety protocols involved in this, but.
Speaker BBut, yeah, 100%.
Speaker BI would.
Speaker CYou.
Speaker BWould you want a cylinder onto your counter?
Speaker BAnd so I know you're not.
Speaker AI don't.
Speaker AI don't want my.
Speaker AI don't.
Speaker AI don't love that my phone listens to me.
Speaker AI don't love that any.
Speaker AI mean, even ChatGPT is listening to me and is serving up all kinds of results for things that I didn't ask for.
Speaker ASo no, I would absolutely not.
Speaker AI will not be part of the pilot program for this $20,000 humanoid robot.
Speaker AThere's no way in hell.
Speaker BWell, and you know who else is listening to you?
Speaker BOur Omni Talk fans.
Speaker AOh, my gosh.
Speaker AThat's fine.
Speaker AThat's fine.
Speaker AI know what I'm saying to them for the most part.
Speaker AOkay.
Speaker AWell, Chris, it is also the first show of the month, which means that we need to award this month's Omni Star.
Speaker ASo, Chris, tell us who won the month of November, please.
Speaker BYes, and of course, yes.
Speaker BThanks for the reminder for those news.
Speaker BThe pot new to the podcast.
Speaker BThe Omnistar Award is of course the award we give out each month in partnership with Corso to recognize the omnichannel operators out there.
Speaker BThe top omnichannel operators out there, I should say, not the pundits, not the so called experts.
Speaker BThere's a lot of that going on right now, but the real life retail operators making a difference in their organizations.
Speaker BCorso's AI copilot, you might recall, coaches retail leaders to optimize store performance at every level, transform retail operations from data overload into data powered.
Speaker BAnd in this month, we are excited to give the award to Justin Weinstein, the EVP and chief merchandising and Marketing officer at Giant Eagle.
Speaker BJustin is winning this month's award for the bold work he is doing leading 95 years old.
Speaker B95 years old, and Giant Eagles $100 million because it matters.
Speaker BNew brand positioning, campaign and work effort.
Speaker BSo congratulations, Justin, on being named this month's Omni Star.
Speaker BAll right, Ed, should we get to the headlines?
Speaker ALet's do it.
Speaker BIn this week's Fast5, we've got news on the surprising size of Starbucks delivery business Mondelez aggressive use and investment in generative AI, Kroger and Uber Eats.
Speaker BNew partnership that integrates restaurant delivery right into the Kroger app grubhub now enabling grocery delivery via, yes, Instacart.
Speaker BAnd in a new segment, we are calling which headline won the week?
Speaker BProducer Ella will join us at the end of the show to discuss which headline discussion piqued her interest the most.
Speaker BBut we begin today with big news from the Wall Street Journal surrounding Amazon.
Speaker AAnd that's right, headline number one, the Amazonification, which is a new word that apparently we all need to have in our dictionaries.
Speaker AThe Amazonification of Whole Foods may now be closer than it has ever appeared before.
Speaker AAccording to the Wall Street Journal, Amazon is shaking up the natural foods groceries with robots in the back room and Pepsi outside the exit in its push for a bigger slice of the supermarket business.
Speaker AFor example, a new feature lurks in the back room of a Whole Foods Market in suburban Philadelphia called the Shopbots, a group of robots that fetch Tide Pods and Pepsi for shoppers who aren't fully satisfied by Whole Foods selection of organic kale and craft beer.
Speaker AIn the beverage section, shoppers face a selection of prebiotic sodas free of GMOs and artificial colors.
Speaker AHowever, if you they really just want a Pepsi, they can pull out their phones, open the Amazon app and ask.
Speaker AAnd the shop bots will spring into action.
Speaker AThe soda will be ready to pick up in minutes.
Speaker AAnd in a separate trial in Chicago, the Pepsi is even more visible there.
Speaker AAmazon has cleared their coffee shop and seating area in the city's flagship Whole Foods, installing in its place a 3,800 square foot grocery kiosk called Amazon Grocery, filled with brands like, like Kraft Mac and Cheese and Chips Ahoy.
Speaker AChris, as the biggest Doritos and Pepsi fan out there, are you buying or selling the idea that Amazon intends to allow us to buy both of those things at Whole Foods in the long term?
Speaker BI think I am buying that.
Speaker BThat is the ultimate plan here.
Speaker BAnd I'm curious what you think.
Speaker BThis story is really, really interesting to me.
Speaker BI mean, we talked about it a while back on our show that they were contemplating testing this and I guess now it's live.
Speaker BAnd the funny thing I think is like the 3,600 foot square foot kiosk, that's not a kiosk, that's a fricking convenience store at that size.
Speaker BRight?
Speaker BSo like, so like makes me think that these tests, you know, that, that Amazon's moving in this direction because these tests are so strange that it feels to me like someone at Amazon probably sat down at one point in time and wrote a vaunted Amazon press release of what if you could get Whole Foods products and your average grocery store products all in the same trip?
Speaker BImagine that world.
Speaker BAnd so when you put it that way, I can see the allure of the concept because that idea just doesn't exist in the marketplace.
Speaker BBut in my opinion, as I've said before, there's a reason for that.
Speaker BIt's because the mass market doesn't want it.
Speaker BIf it did, the buyers at Walmart, Target and Kroger would devote more of their shelf space to what Whole Foods actually sell.
Speaker BSo if I play this out, all roads lead down the same path.
Speaker BTo me, that over time, Whole Foods looks less like we know it today and more like your average grocery store with no real points of competitive differentiation.
Speaker BNow, with that said, I can get behind the milk with my electronics idea that Andrew Jassy was, you know, purporting to talk about in the media last week.
Speaker BGiven where Whole Foods stores are and where they're located, that could be valuable in and of itself to Amazon for the online delivery business.
Speaker BSo I have to consider that.
Speaker BBut the whole thing, at the end of the day, makes me very, very sad because if any of what I said is true, Amazon is essentially destroying a once proud brand and a brand that in my opinion, could still thrive in the marketplaces on its own and for its own purpose of its design.
Speaker AYeah, I mean, I think they, they have even more of a chance to thrive.
Speaker AThey're an established brand.
Speaker AAnd when you look at some of the competitors out there of Trader Joe's and Sprouts and other, other spaces in their, in their same kind of organic, best quality food and produce space, I think the Whole Foods has the best chance to do that.
Speaker AAnd I think the other thing that this, this makes me wonder is like Sprouts and Trader Joe's, we've talked to their teams at length and they know they're an extra trip.
Speaker AWhole Foods knows it's an extra trip for most people.
Speaker AAnd if they want the Doritos, they want the Pepsi.
Speaker AAll of that is shelf, stable stuff that's easy to order online through a variety of other places or.
Speaker AI, I was thinking last night about the use cases, like if you're a Whole Foods shopper and that's where you get all your food, what, what are those times where you're really going to get the Doritos and the Pepsi?
Speaker AMaybe it's a Super bowl party, maybe it's what?
Speaker AWhatever.
Speaker ALike, right, that's not a common thing that you're doing.
Speaker AAnd so in that case, like, why wouldn't you just make a trip to a Target so you can get all the things that you need in that scenario?
Speaker ASo I, I think that this is just a really disappointing decision for Amazon to make with the Whole Foods brand that's been so beloved and so established for so long.
Speaker AAnd you know, I think like you said, if this starts to go the direction where they're just merging everything together, there's nothing as a shopper for me.
Speaker AThere's no reason for me to go to that Whole Foods.
Speaker AIt's more expensive like it there.
Speaker AI can just, I can go to Aldi, I can go to Walmart, I can go to all these other places and get those things.
Speaker AIf you're not going to stick to what really was at your core and why I go to Whole Foods.
Speaker ASo the one last thing I'd say too is I think this also will start to put more onus on the shopper.
Speaker ABecause when I go into Whole Foods right now, for the most part I know like my ingredients are clean source.
Speaker ALike, I don't have to think about it now if you start adding Doritos and Pepsi and all kinds of other stuff to your aisles.
Speaker ANow I have to spend time in the aisles trying to discern like, what are the ingredients in this product, Are they clean?
Speaker AAre they going to be like locally sourced?
Speaker ANow I have more work to do.
Speaker ASo I'm just.
Speaker ACan you tell I'm not, not a big fan of what I am?
Speaker BYeah, I can't tell you're not a big fan.
Speaker BAlthough I do want to push you a little bit because you didn't actually answer the question.
Speaker BYou're not a fan of the idea.
Speaker BBut the question that you asked me was actually, do you think Amazon is going to do this in the long run?
Speaker BIf you had to guess right now, is this what they're doing or is this the Wall Street Journal just running with a test and trying to, you know, get it salacious as the Amazon ification as you described in the beginning?
Speaker BWhat do you think?
Speaker AI do think that this is what the Amazon's doing.
Speaker AI think they think that they have to make this is like the last ditch effort for the grocery business, that of Amazon and, and they're going to turn Whole Foods into what they wanted Amazon Grocery to be.
Speaker AAnd I just, I don't think it's going to work.
Speaker BWow.
Speaker BOkay.
Speaker BWe both thought the same thing.
Speaker BAll right, headline number two, coffee delivery is now a $1 billion business for Starbucks.
Speaker BWho knew?
Speaker BAccording to CNBC, Starbucks said last week that its annual delivery sales crossed the Milestone in fiscal 2025, which ended on September 30th.
Speaker BIn the company's fiscal fourth quarter, delivery sales climbed in almost 30% compared with the year ago, period.
Speaker BExecutive said 30%.
Speaker BAnd deliveries growing 30% at Starbucks.
Speaker BAnd I'm curious, does the fact that Starbucks now sells a billion dollars of coffee a year via delivery change your thinking on Brian Nichols turnaround strategy?
Speaker ANo.
Speaker AI still think if anything, this tells you you need to automate the hell out of your business.
Speaker AYou need to figure, you need to like shift gears from this like coffee shop experience and look at the potential growth on your hands here.
Speaker ABring back the pickup only stores don't even put a storefront in front of them.
Speaker AThey could just be ghost kitchen coffee making operations where everything's automated so that you can get things to customers quickly.
Speaker AAnd that's because they know they're going to get exactly what they want every single time they order Starbucks, not just for coffee, but also food.
Speaker AThey said 40% of these orders are including food because you have to help people justify those delivery costs.
Speaker AAnd I think what this is showing me is that it already is being delivered and accurately and in good condition.
Speaker ALike the coffee still hot.
Speaker ASo how do you keep that engine going?
Speaker AAnd that to me is what I would be focused on if I was Brian Nichol and team at Star at Starbucks.
Speaker ABut what, what about you?
Speaker AI mean, does this change?
Speaker AYou're, you're pro coffee shop where, what do you think this has?
Speaker AWhat impact do you think this has?
Speaker BI am, but I am, but I think I'm changing.
Speaker BI'm coming to come into your side a little bit more.
Speaker BI think there's some nuance to the argument though.
Speaker BBut like I think this is the bullet in the chamber for your argument, for what you've long espoused on this show.
Speaker BYou know, because with 30%, that's just, that just tells me 30% growth rate and delivering a billion dollar business, that just tells me, like you said, there's just a hell of a lot of people that want their coffee.
Speaker BThey don't want the Starbucks experience.
Speaker BIt's absolutely meaningless to them.
Speaker BThey just want the addiction.
Speaker BThey just want the product that they love.
Speaker BSo, you know, I think you're right.
Speaker BYou got to go the way of like dark cafes and figure out a way to push orders through them.
Speaker BThe other point I hadn't thought about until you just mentioned it too is like, yeah, you tried the mobile pickup only stores and things like that.
Speaker BBut like you didn't market them.
Speaker BLike, you know, like how did you, how did you bring those to market?
Speaker BHow did you tell people about them?
Speaker BBecause like, for me, given the fact that now when I go to the, when I go to a Starbucks, I'm not only waiting in line for mobile pickup orders, there's people doing delivery orders too that are waiting to pick up their orders and it's taking a lot of time.
Speaker BAnd so I'm standing in line for a really long time.
Speaker BAnd so, so with all that said, like tell me that there's a location where I can just go pick it up and hopefully it's faster.
Speaker BYeah, I'm all in.
Speaker BBut with that said, I think both ideas can be true at the same time.
Speaker BAnd that's what Omni is all about because I'm still going into Starbucks with large queues of pickup orders, but the stores are also still full.
Speaker BSo I think that's a dynamic here at play.
Speaker BSo I think you have to improve both.
Speaker BBut what this tells me is hopefully he's got the punchline to the joke here and this is a really telling statistic on that.
Speaker BAnd my hunch is that he does.
Speaker BBut the other point of this is I think it's going to take more time to figure this out and more investment to figure it out than just leaning in on the stores.
Speaker BOn the stores, the operations, you know, keeping the employees happy, which I think is the right starting point.
Speaker BBut then you've got to figure out how to supply the infrastructure to make this happen quicker.
Speaker BBut you take the last word here.
Speaker BWhat do you think?
Speaker AYeah, I, I mean I don't have much to add.
Speaker AI think they, they've got to figure out both operations if they are going to do it that way.
Speaker ABut you have to be pressing the gas on the automation and on this, keeping this delivery top of mind for people.
Speaker AOtherwise people are going to sneak up and, and catch up to you on it and, and that profit could slip quickly.
Speaker ASo, so yes, Brian, get your, get your coffee ghost kitchens up and running.
Speaker AWe're ready.
Speaker AWe're ready for them.
Speaker BYeah, we are.
Speaker AHeadline number three.
Speaker AOreo maker Mondelez plans to use a new generative AI tool to slash its marketing costs.
Speaker AAccording to Reuters, snack maker Mondelez is using this generative AI tool to cut their production and marketing content costs by 30 to 50% in executive told the news outlet.
Speaker AThe packaged food manufacturer began developing the tool last year with it firm Accenture and expects that it will be capable of making short TV ads that would be ready to air as soon as next year's holiday season and potentially for the 2027 Super Bowl.
Speaker AMondelez has invested more than $40 million in this tool and it is using content generated by the new tool on social media for its Chips Ahoy cookies in the US and Milka chocolate in Germany.
Speaker AAn 8 second Milka video shows waves of chocolate rippling over a wafer along with different backgrounds depending on which consumer Mondelez is targeting.
Speaker AMondelez, however, is not putting human likenesses in its AI created content.
Speaker AChris, this is also the A and M put you on the spot question.
Speaker AMondelez, they've spent $40 million to get to the point of AI generated ads.
Speaker AWhat are your short term and long term implications of the deep pocketed big brands stepping out from the pack to go in on Gen AI in this way?
Speaker AWow.
Speaker BOkay.
Speaker BCPG put you on the spot based question.
Speaker BAll right.
Speaker BI like what those guys are doing here.
Speaker BTrying to put me on the spot this week.
Speaker BAll right.
Speaker BTruth be told.
Speaker BAnd I'm very, very, very, very.
Speaker BI think that's five areas if I'm keeping score at home.
Speaker B5.
Speaker BLeery of the approach here.
Speaker BI think it's, it's, it's a dangerous approach.
Speaker BIt feels like, feels like to me there's a fast approaching trap here.
Speaker BAnd by trap, I mean the sunk cost trap.
Speaker BAnd the reason for that is I think the technology is changing too Fast, that a $40 million investment with Accenture could honestly get obsoleted very quickly here or especially over the long run.
Speaker BSo I think the right approach is actually to test and learn your way in with various providers via very smart, controlled experiments, which it sounds like that's the approach they're taking with their own internal tool.
Speaker BSo I don't understand why they're spending $40 million because I think there's a lot of improvements that could be made with the range of software providers that we encounter every single day that wouldn't cost a fraction of that amount and still give you the same efficacy.
Speaker BSo.
Speaker BSo given how many competitors are coming into the fray every single day in this space, who's to say there's not going to be a better way to do things in just six months in time?
Speaker BSo short term, I think it definitely galvanizes the CPG industry to think about AI differently.
Speaker BThat's one important point of this headline.
Speaker BBut long term, I do think it's the wrong approach.
Speaker AYeah, I mean, I think that the other part of this is you're also like having the Mondelez team or the Accenture team together.
Speaker ALike you're, you're expecting that generative AI is going to be top of mind for these teams, staying on top of trends, where this technology is going.
Speaker ALike, I just, I don't think that's a tool that the CPGs have internally.
Speaker AThey're always going to be driven by what the overarching objectives are for their brand and for their business, not focused on the development and staying up to date with what's happening with the technology.
Speaker AI just saw a Demo from a company, Chris, this week called Genesis X.
Speaker AThey showed me some of the AI demos that they're doing with their technology.
Speaker AAnd as a former producer of these commercials, I am astonished.
Speaker ALike, yeah, and they have humans in the.
Speaker ALike, they have humans in the, in their ads.
Speaker AThey will at some point soon be able to, like, change the content of the ad in between, like, Monday night to Thursday Night Football.
Speaker ALike, there is stuff happening in these things that I have seen with my own eyes that I'm just like, there is.
Speaker AAnd if you gave them $40 million to work with, like, I can only imagine what they'd be able to create for the lifetime of your brand.
Speaker ALike, it just doing this.
Speaker AAnd this is another scenario for a retailer or a brand to beware.
Speaker AThis is a buy conversation.
Speaker AThis is not a build conversation.
Speaker AThis is where you go what you were saying at this stage, you go to the experts who can do this and can stay on top of the trends in technology much better than your organization is going to be able to.
Speaker ASo to answer A&M's question, I definitely see the financial use case for this technology, but this is 100% a scenario where I would be going to the experts and not trying to build inside my own legacy organization.
Speaker BYeah, that's very, very well said.
Speaker BAnd you understand that space much better than I do.
Speaker BSo.
Speaker BHeadline number four.
Speaker BKroger and Uber Eats have expanded their partnership, integrating restaurants directly into the Kroger app.
Speaker BAccording to Chainstore Age, the two are growing their partnership to more than 2600 stores across all Kroger banners.
Speaker BIn addition, Kroger Boost members will now be able to take advantage of an extended free trial of Uber One for 6% cash back and automatic surge savings on rides, $0 delivery fees, and up to 10% off all Uber Eats orders.
Speaker BUber Eats restaurant selection will now also be integrated directly on the Kroger app, allowing customers to place their weekly grocery order and order dinner from their local restaurant of choice seamlessly via Kroger's app.
Speaker BKroger will be the first retailer on the platform where customers can access grocery items alongside hundreds of thousands of restaurants with $0 delivery fees and reduced service fees for all Boost members.
Speaker BAnd what do you think of the idea of ordering restaurant delivery from your grocer's app akin to how Kroger is doing it with Uber Eats?
Speaker AI love it.
Speaker AI think it's super smart.
Speaker AKroger back in the day, you know, when Kroger opened their their new future store format in Cincinnati and they had a food hall as part of their experience, this was something that they were working on, trying to get to the, the point of where they could service customers in one experience, both from their everyday grocery needs and essentials, and deliver, you know, hot and ready to eat food from one of their, their food hall providers.
Speaker AThis goes back to what I was just saying in the last episode or in, sorry, in the last headline too, which is like, Uber Eats is the better player here.
Speaker AYou're giving unlimited options to your customers.
Speaker AYou're now able to, I assume, share data with Uber Eats about what customers are ordering from their restaurant experiences.
Speaker AAnd that helps influence the kind of trends and things that we'll be seeing in on the shelves inside Kro Kroger.
Speaker ASo I think from an operations perspective like that, data share will be very valuable for both of them.
Speaker AAnd then as a consumer like, you ultimately have all the benefits of, you know, getting all of these things done in one order, plus the loyalty points and, you know, you get the, the duplicate duplicative advantages both for Uber Eats and for Kroger.
Speaker AThey're all synced together for you, so there's no thinking.
Speaker AIt's just all easy button for the consumer.
Speaker ASo I, I think it's great.
Speaker AAre you in the same.
Speaker AI mean, you're a Door Dash person.
Speaker ASo if you had a Kroger near you, are you going to go to Kroger and Uber Eats when you're in scenarios?
Speaker BChris, I'm, I'm surprised you're curious about where I am on this.
Speaker BI feel like I've talked about this idea on the show, like hypothetically for a, you know.
Speaker BHypothetically, yes, that's a word, hypothetically for a really, really long time.
Speaker BYou know, I think I love this idea.
Speaker BI love that Kroger's the first one doing this, because to me, like you said, Ann, I mean, this is what you're alluding to.
Speaker BI think it's just an extension of the subscription war, you know, across Walmart plus and wherever else you want to, Amazon prime everywhere else you want to go.
Speaker BAnd so, and if you step back, it's.
Speaker BAnd you mentioned DoorDash, it's honestly just DoorDash's double dash, but in reverse.
Speaker BYou know, you're going to the grocery store first and then getting your restaurant from the same place.
Speaker BSo, yeah, why wouldn't that work?
Speaker BYou know, and probably it probably gets you more traffic also at the end of the day and keeps you more hooked into the subscription and the loyalty program like Boost.
Speaker BSo.
Speaker BSo I think this is brilliant.
Speaker BMy Big question, though.
Speaker BAnd as the.
Speaker BAs the single biggest Walmart plus fan out there in America, I'm giving you that title.
Speaker BI'm bestowing that moniker on you today as the single biggest fan of Walmart plus in America.
Speaker BWhat is the Over.
Speaker BUnder on Walmart's response to this?
Speaker BI'm placing it at six months.
Speaker BYou think Walmart responds with something similar in under or over six months?
Speaker AYou know, I think it's going to be over.
Speaker AAnd I say that because they've had the chance to do this for a long time and they are going for things like the Burger King partnership.
Speaker AThey're going for things like other things in the space.
Speaker ASo while I wish it would be under six months, something tells me that there's, like, some negotiation that's still in the works that will make this a little bit longer for them.
Speaker ABut what are you taking over?
Speaker AUnder.
Speaker BI think, just for the point of debate, I'm gonna say.
Speaker BI'm gonna say under.
Speaker BAnd DoorDash has already been rung up on speed dial.
Speaker BI think that's.
Speaker BThat's my take, that whoever's running Walmart plus, because I can't remember who it is because Vanessa left.
Speaker BBut.
Speaker BBut, yeah, I think They've already got DoorDash on speed dial saying, hey, can you do the same thing for us?
Speaker BLet's talk about it.
Speaker BThat's.
Speaker BI don't know.
Speaker BRight?
Speaker BThat's.
Speaker BThat's my.
Speaker BThat's my dream.
Speaker AWhich.
Speaker BWhich would be great for me and for.
Speaker BBut even better.
Speaker AOh, God.
Speaker AIt'd be great for me.
Speaker AIt'd be great for me.
Speaker AThere's already so many advantages that, that.
Speaker AYeah, I. I mean, but I do.
Speaker AThe other thing is, like, I do have the Uber one thing through Delta, they connected those partnerships.
Speaker ASo I've already shifted some of my DoorDash away from DoorDash into Uber One.
Speaker BNow, because it ain't so.
Speaker BBut you.
Speaker BI know a subscription maven.
Speaker BYou're like a maven of subscriptions.
Speaker BYou know all the deals.
Speaker AYes, I do.
Speaker AI do like to do that.
Speaker AAll right, let's go to headline number five.
Speaker AClose this out.
Speaker ASpeaking of delivery, grubhub users can now also order groceries.
Speaker AAccording to Supermarket News, grubhub has partnered with Instacart to allow customers to order groceries to more than a thousand national, regional and local retailers directly through grubhub's app and website.
Speaker AUnder the arrangement, orders are placed on grubhub's platform, but fulfilled and delivered by Instacart shoppers.
Speaker ACustomers can access the service by selecting the grocery icon in the GrubHub and app, choosing a nearby store and adding items to their cart, and tracking delivery in real time.
Speaker AThe service is rolling out starting October 28th and is expected to be available nationwide by the end of the week.
Speaker AIn areas where Instacart operates, orders from select pharmacies will also be added in the coming months.
Speaker AChris, what do you think of this strange bedfellow and first of a kind partnership between grubhub and Instacart?
Speaker BOh, man.
Speaker BAnd my first inclination is beware of Greeks bearing gifts.
Speaker BBut I'll tell you about that more in a second because my first takeaway is that these last two headlines, particularly this one and the one prior, they show the rise of what we've long talked about on this show, which is that the third party delivery providers are being pushed into playing more of a white label service positioning throughout the market.
Speaker BI think we're going to continue to see that.
Speaker BWe've talked about it.
Speaker BI feel like I talk about it every week at this point and it's just more evidence that it's coming.
Speaker BSo that's point one.
Speaker BPoint two though, getting back to the Greeks bearing gifts, the partner here is really fascinating to me.
Speaker BAnd because Wonder, AKA Mark Laurie's super app for meal planning, owns grubhub.
Speaker BSo if I'm instacart, I'm stepping back strategically and I'm saying, why the heck would I do this?
Speaker BWhy would I give a leg up to someone that eventually wants to disintermediate me in his grand designs on how to attack the marketplace?
Speaker BAnd also why would I throw a grubhub, one of my competitors, a lifeline like this?
Speaker BGrubhub has been flailing for years.
Speaker BI mean, it's been, you know, bought and sold multiple times just over the last five years.
Speaker BSo, so if I step back and I just look at this from like the landscape perspective, this is the same essentially as Instacart providing delivery for Door Dash and vice versa.
Speaker BSo like, I just don't understand why Instacart would do this.
Speaker BI don't understand their incentives and I question the move wholeheartedly.
Speaker BAnd I, and I, I wonder too if there isn't something, something else at play here, like strategically where Mark Laurie is like, kind of baited the hook with Instacart and been like, hey, you can acquire us because we're going to create the super app for meal time, you know, help us get it on board and, and it sounds really sexy and you should do it with me and then, you know, God knows what happens from there.
Speaker BBut I wouldn't.
Speaker BI, you know, very well could be at play knowing, knowing him and knowing the history of how he does things.
Speaker AThat makes the most sense out of all this.
Speaker AI mean, the other thing that I don't understand, the other angle that we didn't talk about yet, is that Amazon prime members also get a free, free grubhub membership.
Speaker ASo to me, that feels like it.
Speaker AThere some conversation between Amazon seems like it would have been something that might happen before we saw this headline.
Speaker AIt seems like that would have been a good defensive moat for Amazon, but apparently not.
Speaker AApparently Mark Laurie is working his magic in the background.
Speaker AChris.
Speaker AAnd Instacart is who he wants to, to be linked in with for this, this partnership.
Speaker BYeah, God knows where it's going to go.
Speaker BAll right, let's get to the lighting around and I'm excited for this one.
Speaker AAll right, Chris.
Speaker ALaura Harvey, head coach of the Seattle Rain Football Club, said this week that she used ChatGPT to help come up with a new defensive strategy that she actually deployed and actually helped the team win their game.
Speaker AWhat was the last thing you use ChatGPT for that resulted in a surprising positive outcome?
Speaker BOh, wow.
Speaker BThat.
Speaker BThat's actually easy ad.
Speaker BIt's going to be a boring answer for our listeners.
Speaker BBut.
Speaker BBut hey, that's what niche podcasting is all about, is about random, random facts that might interest people.
Speaker BSo I actually used it for this podcast to, to understand how this microphone works.
Speaker BDid you know there's this, like, button on the bottom of our microphones that you can push one way or the other?
Speaker BAnd I had no idea what either of those things meant.
Speaker BAnd so I looked it up and figured out which way I should have it.
Speaker BHave it set up for.
Speaker BSo, yeah, it helped me with, with my sound production for today's podcast.
Speaker BHopefully everyone's enjoying it.
Speaker BIt.
Speaker AI'm glad that it resulted in positive, a positive impact for this podcast, Chris.
Speaker BAll right.
Speaker BAnd Jonathan Bailey of Wicked fame was recently named people's Sexiest Man Alive, a pick I happen to agree with.
Speaker BDo you, however, agree with this pick?
Speaker AI do.
Speaker AI preferred him as Anthony in Bridgerton.
Speaker AHe is a very handsome man.
Speaker AI do like his character better in Bridgerton.
Speaker AIt's a little.
Speaker AHe's a little more, like, adventurous and risque in that show.
Speaker ASo I think that's what they should be using as his Sexiest man Alive.
Speaker ANot in reference to his role in Wicked personally, but.
Speaker ABut yes.
Speaker AGood pick, Good pick.
Speaker BIt's interesting.
Speaker BI never thought about the promotional timing.
Speaker BBetween Wicked and him being named the sexiest man alive, I wonder what.
Speaker BWonder what happens there.
Speaker BThat's a curious little factor I didn't think about before.
Speaker AAll right, question number three.
Speaker AJohn Lewis is opening the John Lewis Lounge exclusively for my John Lewis loyalty.
Speaker ASo scheme members, upon arrival, guests will be welcomed with a complimentary coffee or glass of sparkling wine alongside Waitrose chocolates and the option to enjoy hand and arm massages.
Speaker AChris, would this be enough to get you into John Lewis for your holiday shopping?
Speaker BNope.
Speaker BNope.
Speaker BI'm 100 out on anything with the words hand massages and 100 out.
Speaker BNope, no hand massages for me.
Speaker AOh, I would.
Speaker AI.
Speaker AThat's like my favorite thing about the.
Speaker AThe Paris airport.
Speaker AThey have like the Clarence massage area and.
Speaker AAnd all that in the airport so that you can get your hand massages and back massages and facials right there.
Speaker AIt's perfect.
Speaker AI would definitely be doing it.
Speaker BBetter you than me.
Speaker BBetter you than me.
Speaker BAll right, last one.
Speaker BCarly Rae Jepsen is reportedly pregnant.
Speaker BWhat should she call the baby?
Speaker AI said they should call the baby cmb.
Speaker ACall me baby in honor of the baby's father, Cole mgn, who apparently that goes by those three letters as his last.
Speaker BYou're joking.
Speaker ANo, Cole MGN is what the dad is.
Speaker ASo cmb, Call me baby is what the baby should be named.
Speaker BThat is so fantastic.
Speaker BThat question just wrote itself.
Speaker BHonestly, what should Carly Ray Jepsen call the baby?
Speaker BAll right, today's podcast was produced, of course, with the help of Ella Seord.
Speaker BElla, come on in here.
Speaker BIntroduce yourself to the audience and as our resident Gen Gen Z.
Speaker BRight?
Speaker BYou're not Gen Alpha, right, Ella?
Speaker CGen Z.
Speaker BAll right, Gen Z, which headline won today's show for you?
Speaker BWe're curious and I are dying to know.
Speaker CWell, first of all, Resident Gen Z is a crazy title, Chris, but I guess I'm honored to live up to it.
Speaker CI feel like as a producer listening in the background of every episode, I definitely have my own take as more of a younger consumer.
Speaker CSo I don't think it's going to surprise you guys that my favorite headline this week was the one about Starbucks.
Speaker CI'm definitely a major consumer in the coffee realm as I sit my coffee right now.
Speaker CBut I think it definitely reflects how we're living right now with the convenience factor.
Speaker CThe world is definitely getting smarter, but us, as consumers, we're getting a lot lazier, too.
Speaker CSo the $1 billion in delivery, not surprising at all, I think I personally struggle where I stand in the sense of if I'm gonna go out to get a coffee, that's an experience in itself.
Speaker CSo I don't think waiting five minutes is the biggest deal in the world.
Speaker CI wanted that convenience factor.
Speaker CYes, I would do a mobile order, or maybe I would get it delivered, but I also love sitting in a coffee shop.
Speaker CSo when I hear you guys talk about getting rid of that, I'm like, wait, pause.
Speaker CI agree.
Speaker CMaybe there's sometimes no seats, but I do love going out to get a coffee with my friends.
Speaker CTo think from a different perspective as well, I'd say coffee right now is definitely a trend.
Speaker CSo, again, not surprised by their numbers.
Speaker CI mean, you see middle schoolers showing up to school with their Starbucks coffee.
Speaker CIt might not even be coffee.
Speaker CIt might be a tea or something.
Speaker CBut having that Starbucks with them, it's definitely a trend.
Speaker CAnd I think Starbucks is really playing to every generation.
Speaker CSo I don't know.
Speaker CI think if I was going to deliver, I would deliver and have that either, like, mobile pickup for convenience and stuff, but I don't think there's anything wrong with waiting for five minutes.
Speaker CI think we're getting a little too convenience.
Speaker CCrazy.
Speaker BWow.
Speaker BProducer Ella.
Speaker BSo wait, I want to make sure.
Speaker BSo.
Speaker BSo you actively use Starbucks for delivery?
Speaker CSometimes.
Speaker CI mean, it definitely depends on what I'm doing that day, but, yeah, sometimes.
Speaker BLike, how many times a month?
Speaker BLike, just ballpark it.
Speaker CMaybe six.
Speaker BSix times a month.
Speaker BAnd wow, is that crazy.
Speaker CWhat about you guys?
Speaker AWhat are you.
Speaker ALike, where is the threshold for expense?
Speaker AThat's my question for you.
Speaker ALike, is this when you're ordering delivery from Starbucks?
Speaker AIs this with friends?
Speaker AAre you.
Speaker ALike, this is on a Saturday.
Speaker AYou're, like, about to go out and run errands.
Speaker ALike, what is the scenario and how.
Speaker ALike, where's the threshold where you're like, I'm gonna.
Speaker AThat's too expensive for delivery.
Speaker AI'm gonna go in and get it.
Speaker CThat's.
Speaker CThat's an interesting question.
Speaker CIt's making me think.
Speaker CI feel like it's.
Speaker CWhen I'm.
Speaker AI'm working.
Speaker CIt would not be a weekend, because if it's a weekend, I'm just gonna get my coffee.
Speaker CBut I think it's when I'm also hungry because I'm gonna get the food delivered as well.
Speaker BYou are?
Speaker AOkay.
Speaker CBecause otherwise I can just make my coffee at home and get that alone.
Speaker CBut if I'm craving that, like, ham and Swiss croissant.
Speaker CYes.
Speaker CMaybe I'll get it delivered.
Speaker AThat.
Speaker AThat does like, change the mindset of this order, too, I think, a little bit.
Speaker AAnd that's what I think Starbucks was alluding to in the 40% of these orders include food.
Speaker ABecause I think we have no.
Speaker AAnd I won't speak for you, Ella, but I assume, like, you have no problem ordering food via doordash.
Speaker AAnd so that expense maybe is not, like, in my mind, it's like, okay, am I really gonna pay 5, $10 for a Starbucks to get delivered?
Speaker ABut if you're ordering food and you're thinking about it as, like, a breakfast moment and adding the coffee on, that kind of changes my perspective of it.
Speaker AI don't know if that's true for you or if that's how you're thinking about it when you're ordering, like, food.
Speaker CFirst, 100% food first.
Speaker CAnd then you might as well just get that added coffee.
Speaker CMy vanilla latte with oat milk, of course.
Speaker BYeah, yeah.
Speaker BSo, Ella, last question then.
Speaker BIs it, like, do you do it, like, habitually those six times?
Speaker BLike, habitually.
Speaker BLike, do you do it before, like, recorded this podcast, for example, because, like, you know, you're going to be at the house and you want something to start your day a certain way, like, or is that not a factor at all?
Speaker CNo, I'd say it's definitely spontaneous.
Speaker CLike, if I'm sitting here.
Speaker BSpontaneous, yes.
Speaker CLike, okay, I need it right now.
Speaker CLike, it's.
Speaker CIt's a quick decision.
Speaker BAll right, I gotta start doing that more.
Speaker BI've only tried it once, and.
Speaker BHave you tried it yet?
Speaker BI can't remember.
Speaker BDid you try it?
Speaker AYes, we've tried it on vacation when we're like, you know, oh, just want to sit around and, like, have coffee being delivered to us versus having to, like, go out and have somebody make a run and.
Speaker AYeah, it's great.
Speaker AIt's been great.
Speaker AThe coffee's been hot, the food's been available and ready to go, and it's a quick way.
Speaker ALike, I think that's the thing about Starbucks.
Speaker AEverybody knows it.
Speaker AThey know exactly what they're gonna get.
Speaker ALike, Ella said she's got that ham and chest cheese croissant that she likes.
Speaker ALike, my kids have certain things that they like.
Speaker ALike, one order, it's all good to go and.
Speaker AAnd I get my coffee, which I'm happy about.
Speaker BSo well done, producer Ella, first appearance on this international podcast of ours.
Speaker BSo well done, well done.
Speaker BThanks for bringing the younger generation's perspective, too.
Speaker BAlways important for our listeners.
Speaker BHappy birthday today to Tatum o', Neill, Tilda Swinton, and to my personal favorite all time bond femme fatale Famke Jansen.
Speaker BAnd remember, if you can only read or listen to one retail blog in the business, make it Omnitoc only retail media outlet run by two former executives from a current top 10 US retailer.
Speaker BOur Fast Five podcast is the quickest, fastest rundown of all the week's top news and our daily newsletter, the Retail Daily Minute, tells you all you need to know each day to stay on top of your game as a retail executive and also regularly features special content that is exclusive to us and that Ann and I take a lot of pride in doing just for you.
Speaker BThanks as always for listening and please remember to like and leave us a review wherever you happen to listen to your podcast or on YouTube.
Speaker BYou can follow us today by simply going to YouTube.
Speaker BCom Omnitalk Retail.
Speaker BSo until next week, on behalf of all of us at Omnitalk Retail, on behalf of Anne, producer Ella and myself, as always, be careful out there.