Co-op has launched a home delivery service exclusively for independent retailers called Peckish, targeting 1,000 sign ups within its first year.

The firm said the service will allow smaller retailers to have a presence online, overcoming previous challenges with “cost, scale and resource.”

A £1m investment is being made into the service, with an initial sign-up target of 1,000 stores. Co-op claimed it has the potential to have 3,000 Peckish sites in its third year.

Retailers are able to choose their own pricing and either deliver it themselves, or use drivers supplied by the Co-op to conduct the deliveries. The Co-op can also offer support in managing orders and provide customer support.

It can also be linked to a retailer’s EPoS, providing automatic pricing and stock updates. Partnered retailers will also receive PoS material, online marketing and sales analysis support. Pricing for the service, which is being operated in partnership with Snappy Shopper, will differ depending on the level of support retailers choose.

Peckish was trialled with 30 Nisa stores under the Nisa To You brand in the second half of last year. Those trial stores are continuing with the service under the new Peckish name, with Nisa To You being replaced entirely by the new branding.

Speaking exclusively to Better Retailing, Co-op managing director of q-commerce aggregator, Grace Wilkinson said the firm has used feedback from the six-month trial to develop the service further.

She said: “The home delivery market can be challenging for many independent retailers. Peckish has been specifically designed for independent retailers and offers really competitive commission rates compared to other home delivery platforms.

“The Co-op is market leading and has 24% of the home delivery market. We can offer support and help invest in resources. Our driver network has 86% coverage of the UK population. The feedback for Nisa To You was really positive and we’ve been listening hard to a lot of feedback to make Peckish more appropriate for partnered stores. One of the major pieces of feedback we’ve taken on from partnered retailers is to allow them to manage pricing to a more specific level.

“We’ve had a lot of interest for Peckish already and we’ve got a dedicated sales team ready to recruit, alongside a marketing campaign.”

Although Wilkinson declined to reveal the average basket spend and rate of sale of trial stores, she said individual customers were buying more than the industry average of £22 to £30. “In some extreme cases, customers have spent £66 in one transaction,” she added. “The baskets have been a mix of fresh, ambient, household and personal care.”

Co-op Food managing director, Matt Hood said: “The growth and popularity of [home delivery] in the UK is exceptional, as consumers appetite for a convenient grocery delivery service in as little as 30 minutes from ordering, increases almost weekly. 

“We know that smaller local shops, like our own, operate at the heart of the local community life. More than a shop, they are a community hub, creating value locally through job creation, community participation and their support of local suppliers.

“The ‘shop local’ sentiment is strong amongst consumers, and Peckish can help more retailers connect quickly online with their customers, providing greater consumer choice locally, and promoting healthier and more viable high streets and communities.” 

The launch adds to existing home delivery partnerships the Co-op has with Deliveroo, Just Eat and Uber Eats.

In February, Booker also launched its own rapid home delivery service called Scoot, with a wider rollout exclusive to its symbol retailers to commence in April.