This book chapter examines the role of logistics in online retailing with particular reference to the grocery sector. The first half reviews the development of the online retail grocery market, mainly in the UK and US.   The remainder of the paper deals with three critical logistics issues that online retailers have to address. The first concerns grocery retailers diversifying into the online market and relates to the one decision on whether to supply online orders from existing shops or from new dedicated fulfilment centres (also known as ‘pick’ or ‘dot-com’ centres). The second issue is whether you provide attended or unattended delivery, the former requiring some-one to be at home to receive the goods, the latter involving the use of a home-based reception box or nearby collection point. The third issue discussed in the chapter is whether the home delivery operations should be outsourced or retained in-house.   

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