Coles’ drone delivery service poised for take-off in Queensland
Supermarket giant Coles (ASX: COL) has partnered with US-based drone delivery provider Wing to offer a pilot “store-to-door” grocery service to customers in southeast Queensland from next week.
The service is believed to be a first for Australia’s retail industry and will be operated through the Wing mobile app for shoppers in the Gold Coast suburbs of Ormeau, Ormeau Hills and Yatala.
Customers will be able to order from a selection of 500 convenience items — such as bread, eggs and milk — through the Coles Ormeau online store for delivery by the drone network.
The service is expected to gradually expand to include other Queensland suburbs.
Wing’s drones are currently sitting in a “drone nest” at Ormeau where they will await the loading of customer orders prior to launch.
Coles team members will process and pack orders, and Wing staff will load the drones and oversee operation of the delivery service.
Lightweight drones
Each lightweight drone can carry up to 1 kilogram of Coles items and has been programmed to ascend 70m into the air before travelling to its destination at an approximate speed of 110km per hour.
Wing (which is owned by Google parent company Alphabet) said the system would consider weather conditions, other aircraft in the area and any potential obstructions at a customer’s address prior to a drone commencing its route.
Deliveries can only be during the day as Civil Aviation Safety Authority regulations prevent drones from flying at night.
The Queensland drone delivery service follows a pilot program launched in Canberra in March, which has since fulfilled more than 5,000 customer orders.
The next evolution
Coles chief executive officer (eCommerce) Ben Hassing said drones were the next evolution in delivery technology.
“They support ambition to be Australia’s most sustainable supermarket by reducing the number of trucks on the road,” he said.
“By partnering with Wing, we are able to offer our online customers another convenient option to have items delivered straight to their door.”
Coles head of network development and customer delivery James Geddes said the service would provide a convenient and effective way of delivering everyday essentials to customers.
“Whether they’ve forgotten to pick up a loaf of bread or fresh milk during their weekly shop or are missing an ingredient for dinner-time meal prep or school lunches, can now get those products delivered quickly without having to drive to the store,” he said.
The Gold Coast is the third Australian region where Wing drone delivery will be available.
Last year, Wing partnered with retail property group Vicinity Centres to deliver goods by drone from the Grand Plaza shopping centre rooftop to customers in Logan, south of Brisbane.