Ocado vows cheaper and better food after tie-up with M&S 

Ocado vows cheaper and better food than it supplies from Waitrose after tie-up with M&S

Ocado has claimed its tie-up with Marks & Spencer will deliver cheaper and better food than what it had been supplied by Waitrose.

The online supermarket first revealed its deal with M&S in February, and expects to launch the service in September.

But despite concerns about the new partnership, it said a review had found that more than 4,000 products it gets from Waitrose could be replaced by M&S substitutes ‘at the same price or lower, and of the same quality or better’.

Ocado has claimed its tie-up with Marks & Spencer will deliver cheaper and better food than what it had been supplied by Waitrose

The company also said that recent surveys show customers are warming to the tie-up.

Finance chief Duncan Tatton-Brown said the research shows ‘sales lost is coming down and the customer attractiveness to the new offer is coming up’.

Ocado has seen a surge in customers searching for vegan and gluten-free Christmas options as it reported a jump in sales for the 13 weeks to December 1, of 10.8 per cent to £429.1million.

Average orders per week rose 10.4 per cent to 350,000, with an average order value of £104.90, the firm said.

The group’s shares yesterday closed up 1 per cent, or 12.5p, at 1210p.