Jumbo expands Gorillas partnership with financial stake

Dutch supermarket chain Jumbo is expanding its partnership with Gorillas with a financial deal: the family Van Eerd is buying into the capital of the German flash delivery company. The latter will also join in the sponsoring of cycling team Jumbo-Visma.

Escaping governmental ban

Earlier this year, both parties had already announced the first phase of their collaboration, in which Jumbo will deliver products of both A-brands and its private labels to Gorillas in the Netherlands and Belgium. Gorillas then delivers the groceries within ten minutes at home in major cities.

Other initiatives for strategic cooperation, such as the shared usage of shops in city centres, will be launched soon. For Gorillas, such co-location would be a welcome solution to escape the backlash from city councils, which are increasingly banning new dark stores. It will also be possible to order via Jumbo’s online channels and have these delivered by Gorillas, and franchisees will also be able to have their products delivered by Gorillas.

Also, Jumbo is entering the the Berlin-based flash delivery company’s capital via Mississippi Ventures, Jumbo-owning family Van Eerd’s investment fund. The companies do not disclose how big that stake is and what amount is involved.

Riders for drivers

To increase the international visibility of Gorillas – and of the marriage between both parties – Gorillas will also become co-sponsor of cycling team Team Jumbo-Visma. This cycling season, possibly at the start of the upcoming Tour de France, the logo of the flash delivery company will already be added to the jerseys of the riders, next to those of Jumbo, co-sponsor Visma and Jumbo-owned chain Hema.

“In the fast-growing market for home delivery of groceries, Jumbo and Gorillas benefit greatly from each other’s unique position”, Jumbo CFO Ton van Veen explains. “At Jumbo, we see a lot of potential in instant delivery, which will allow us to tap into new customer groups in the big cities.”