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Chronodrive: A Click and Collect Innovator

Verdict Research Limited, Aug 2011, Pages: 109


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As online retailing grows in popularity, the click and collect method of shoppers picking up their own products is achieving significant growth in the grocery retailing sector. Consumers don't have to spend time waiting at home for a delivery and can collect orders when its convenient for them. Auchan's Chronodrive is an innovator in this, operating exclusively as a click and collect grocer.

Features and benefits:

- Enhance your website by gleaning ideas for engaging your click and collect customers and ensuring they have all the site functionality required.

- Develop your customer service proposition by understanding how Chronodrive operates its warehouses and what specific commitments staff must meet.

- Maximise promotion of your brand by using marketing channels that click and collect customers will be most exposed to.

- Target new consumer groups by uncovering how Chronodrive has attracted pedestrians, cyclists and those seeking complementary retail experiences.

- Develop a loyalty program which complements the click and collect format by learning more about how Chronodrive operates its Chrono+ scheme.

Highlights:

Chronodrive has expanded rapidly, with the number of locations in France increasing from three to 28 in just three years. Stores can generally be found in out-of-town locations close to major suburban transport routes though the retailer has also opened a warehouse in a more central location where it caters for cyclists.

Chronodrive offers consumers a choice of over 7,500 SKUs online, as well as 500 items that do not have to be pre-ordered on the internet. These can be selected from computer terminals at the warehouse, providing a last minute option for those that have forgotten to order some items or for those who want to use it as a convenience retailer.

By operating a warehouse model, there is a high investment cost in the building. For Chronodrive this was in the region of €1.5m–2m. However, running costs have been kept to a minimum, especially as the number of employees is considerably lower than a traditional store, with a maximum of just 12 full-time staff required at any one time.

Your key questions answered:

- What are the key barriers preventing consumers from shopping online for groceries and how can click and collect strategies overcome them?

- How has Chronodrive adapted its click and collect model to cater to pedestrians and those without access to the Internet?

- What products does Chronodrive offer consumers and what is its pricing strategy?

- How does Chronodrive encourage loyalty through its Chrono+ scheme and how can customers make use of any discounts or credits earned?

- What type of characteristics do Chronodrive's customers have and how many subscribers does it have in France?



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