Morrisons to step up Amazon link after untying itself from Ocado deal

Morrisons is expanding its delivery service with Amazon, aiming to reap the gains from loosening an exclusive tie-up with Ocado.

The number four UK supermarket is expanding its “Morrisons at Amazon” same-day-delivery service, the scale of which was hindered by its Ocado deal.

Last month Morrisons agreed to stop using Ocado’s automated warehouse in Erith after a fire at the online grocer’s Andover warehouse left it short of capacity. In return, it was freed from its Ocado lock-in.

Amazon Prime Now customers in Leeds, Manchester, Birmingham, parts of London and the home counties could already order Morrisons goods, with delivery in an hour available to some.

That will be rolled out to other cities including Glasgow, Newcastle, Liverpool, Sheffield and Portsmouth this year. Other cities will follow.

The new Morrisons deal sees it become a retailer rather than an Amazon wholesaler, meaning Morrisons will keep the customers rather than Amazon.