Cub Foods Ramps Up Delivery Service

Grocer teams with Capstone Logistics for grocery and liquor deliveries in Minnesota

10/25/2021

Cub Foods and Capstone Logistics are teaming up for new delivery service to Minnesota residents.

As it continues to build out its new pickup and delivery experience, the Cub Foods division of United Natural Foods, Inc. (UNFI) has entered into a collaboration with Capstone Logistics of Peachtree Corners, Ga., to bring grocery and liquor items to Minnesota residents.

Through this arrangement, Capstone is deploying 300 independent contributors to more than 80 Cub stores and 27 wine and liquor stores to deliver items to customers in Minnesota. Capstone uses a “MileZero” platform that optimizes route planning and syncs deliveries to multiple store customers, and shares real-time delivery details with the grocer and its shoppers through a white-labeled app.

“Today’s consumer is busier than ever, and they shouldn’t be treated differently if they can’t find time to purchase their groceries physically in one of our stores. Our new online grocery pickup and delivery experience allows us to better deliver on our My Cub, My Way promise, giving customers who shop at Cub access to the same benefits and experience whether they prefer shopping in our stores or online through curbside pickup or home delivery,” said Chad Bersie, director of e-commerce at Cub Foods.

Jon Rydel, EVP of Capstone’s Last Mile division, said that the partnership reflects ongoing demand for delivery among today’s shoppers. “As online grocery sales continue to skyrocket, improving service needs to be a priority, and with Capstone Last Mile, retailers can offer their own branded solution that improves the total customer experience,” he remarked.

For the past several months, Cub has been touting its online shopping services that are connected to a customer’s chosen stores, not a central warehouse or distant service center. Members of the My Cub Rewards program receive free pickup and save $1.99 on delivery of orders over $50. Cub shoppers can also receive groceries at home from Instacart, as part of the grocer's promise of convenience.

Owned by UNFI, Stillwater, Minnesota-based Cub operates 80 grocery stores in Minnesota and Illinois. Providence, R.I.-based UNFI delivers a wide variety of products to customer locations throughout North America, including natural product superstores, independent retailers, conventional supermarket chains, e-commerce retailers and foodservice customers. The largest publicly traded grocery distributor in America, UNFI is No. 47 on The PG 100, Progressive Grocer's 2021 list of the top food and consumables retailers in North America.