Is Ocado Waitrose or M&S?

Is Ocado part of Waitrose or M&S? Many consumers still wonder about Ocado’s retail affiliations. For years, Ocado was known as the online delivery service for Waitrose groceries, but in 2020, the company made a major shift to Marks & Spencer (M&S). This transition led to mixed reactions from customers, as well as strategic shifts for both Ocado and its partners.

Why did Ocado end its 20-year relationship with Waitrose? Was the M&S deal a better move for Ocado’s business? This article explores the history, reasons for the switch, customer reactions, and the impact of these partnerships on Ocado’s future.

The History of Ocado’s Partnership with Waitrose (2000-2020)

The Beginning of the Waitrose-Ocado Partnership

Ocado was founded in 2000 as a purely online supermarket, a rare concept at the time. Unlike Tesco or Sainsbury’s, which had physical stores, Ocado relied entirely on an e-commerce model. To build credibility and offer high-quality groceries, Ocado partnered with Waitrose, a well-respected British supermarket known for its premium food products.

• 2002: Ocado launched its first Waitrose product deliveries.
• 2009: The company expanded nationally, increasing its warehouse capabilities.
• 2010: Ocado became a publicly traded company, boosting its market presence.

For almost two decades, Ocado became the go-to online service for Waitrose groceries, benefiting from its premium product selection.

The Growth and Challenges of the Partnership

At first, Ocado and Waitrose had a mutually beneficial relationship. Ocado gained access to high-quality products, and Waitrose had a strong online sales channel without the need to invest in its own e-commerce infrastructure.

However, as online grocery shopping became more mainstream, tensions began to emerge:

• Waitrose expanded its own online grocery service, reducing its reliance on Ocado.
• Ocado began investing in its own-brand products, which competed directly with Waitrose-branded items.
• Waitrose refused to grant Ocado a long-term exclusive supply agreement, making future business uncertain.

The End of the Partnership in 2020

By 2017, it became clear that the partnership would not last. Waitrose announced it would not renew its contract with Ocado, officially ending the deal in September 2020. From that point on, Ocado could no longer sell Waitrose-branded products.

Why did Waitrose leave Ocado?

• Waitrose believed it could grow its own online platform without Ocado’s help.
• Waitrose viewed Ocado as a competitor, especially as Ocado pushed its own-label products.
• Ocado was actively looking for a new partner that would offer more exclusivity.

Why Did Ocado Switch to M&S?

The M&S Deal: A Strategic Move

Just months after Waitrose announced the end of its partnership, Ocado struck a new deal with Marks & Spencer (M&S).

• In 2019, Ocado signed a £750 million deal with M&S, securing a 50/50 joint venture.
• This allowed M&S to enter the online grocery market for the first time, as it previously had no home delivery service for food.

The M&S deal officially replaced Waitrose in September 2020, marking a new era for Ocado’s retail offerings.

What Changed with the M&S Partnership?

• All Waitrose-branded products were removed from Ocado’s website.
• Customers now had access to M&S’s exclusive food range, including its famous ready meals, bakery, and premium grocery items.
• The Ocado Smart Pass (subscription service) was expanded to include M&S-exclusive discounts.

How Did Customers React to the Change?

Positive Reception

Many Ocado customers welcomed the M&S partnership because:

• M&S food has a strong reputation for high-quality products.
• The deal gave shoppers access to M&S’s popular ready meals, bakery, and snacks.
• M&S’s branding aligned well with Ocado’s premium positioning.

Criticism and Complaints

However, not all customers were happy about the switch:

• Waitrose fans lost access to their favorite products, particularly specialty items.
• M&S’s product range was smaller compared to Waitrose’s broader grocery selection.
• Some price increases were noted on similar products.
• Initial stock shortages caused frustration in the first few months of the switch.

Comparison: Ocado Waitrose vs. Ocado M&S

Feature	Ocado & Waitrose (Before 2020)	Ocado & M&S (2020-Present)
Product Range	Extensive groceries, including organic and specialty items	Focus on premium food, ready meals, and bakery items
Partnership Duration	2000-2020	2020-Present
Online Shopping	Waitrose also had its own online store	M&S groceries only available via Ocado
Customer Reception	Loyal following, but tensions grew between brands	Mixed, with strong praise for M&S quality but some complaints about product variety

Is Ocado Better with M&S or Was Waitrose the Better Fit?

Advantages of the M&S Partnership

• Exclusive M&S food selection available only via Ocado.
• Stronger brand synergy as both Ocado and M&S cater to premium grocery shoppers.
• M&S’s reputation for ready meals and bakery items attracted new customers.

Disadvantages of the M&S Partnership

• Customers lost access to Waitrose’s unique product range.
• M&S groceries were not as extensive as Waitrose’s offerings, especially in organic and specialist foods.
• Waitrose’s well-established brand in grocery retail made it a strong partner.

Conclusion: What’s Next for Ocado and M&S?

Ocado’s partnership with M&S is now in its fourth year and remains a key part of its grocery business. However, competition in the online grocery space is growing, with Tesco, Sainsbury’s, and Amazon Fresh expanding their delivery services.

💬 What do you think? Do you prefer Ocado’s partnership with M&S, or did you like it better when it had Waitrose? Let us know in the comments!