Supermarket Morrisons has been moving ahead strongly under chief executive David Potts, who came on board in 2015 to get the core operations back on track after several years of under-performance.
The former Tesco executive is growing Morrisons.com through its partnership with Amazon, after an exclusive deal with Ocado was relaxed in 2019, and is ramping up the grocer’s wholesale division with a series of partnerships to better leverage its vertically-integrated supply chain.
Whilst group sales have been recovering over the long term, they remained flat throughout the tumultuous 2020/21 financial year. Similarly, turnaround measures had seen Morrisons’ pre-tax profit build up strongly until it was halved to £165m as a result of £290m in COVID-19 costs during the year.
Continued development of its online proposition has led to the grocer increasing the number of available supermarkets for store picking from 33 to 197. Alongside this, Morrisons increased its capacity by re-entering Ocado’s Erith fulfilment centre in February 2021.
The grocer is looking to push ahead with its digital overhaul as it is now investing in digital shelf-edge labels, as well as robotics and automation for its production lines and distribution depots.
Innovation rating: 2