Costco to begin on-demand grocery-delivery service in South Florida

Posted on May 11, 2017

Costco is beginning on-demand grocery delivery service in South Florida.

The chain this month expanded its partnership with San Francisco-based grocery delivery service Shipt, giving users of the Shipt mobile app in South Florida access to its massive inventory on demand. Shipt promises delivery within one hour.

Available to both iPhone and Android users, Shipt offers unlimited deliveries for $99 a year. In South Florida, it delivers products from ABC Fine Wine and Spirits and Publix — and now Costco.

Washington-based Costco first piloted delivery through Shipt in March in the Tampa metro area. Today, on-demand delivery of Costco products is available in more than half a dozen Florida markets, including Orlando, Sarasota and Jacksonville.

The South Florida region is served by a growing number of delivery services, from Amazon Fresh to Instacart. According to venture capital database CB Insights, the increased competition has led to a slowdown of investment in the space, as the market saturates and its challenges become more apparent.