Morrisons to start selling food online


Morrisons is set to launch an online grocery store, as the supermarket chain looks to take on rivals Tesco, Waitrose and Asda. The move is expected to be announced by Morrisons chief executive Dalton Philips, in his first big presentation to the City since his arrival in March 2010. According to reports, his plans, to be revealed on Thursday, will involve the launch internet trials in several stores that could be extended nationwide.


The £5billion-a-year online grocery market is dominated by Tesco, with Asda second. Sainsbury's and Waitrose also have significant delivery businesses.

Despite the size of the internet grocery market, the online divisions have struggled to reach profitability. But analysts warn that failure to join the market could risk losing regular customers to competitors.

Analysts forecast that Morrisons will report profits for the six months to the end of July of about £400 million, up ten per cent.

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