Woolworths buys Milkrun, relaunches Metro60

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By Published On: May 25, 20230 Comments

Milkrun has been resurrected two months after its collapse as grocery giant Woolworths relaunches Metro60 as 'Milkrun powered by Metro'.

Formerly a competitor to Milkrun, Woolworth’s Metro60 is to be rebranded to “Milkrun powered by Metro”. It will continue to be operated with a 60 minute delivery window and use mostly Uber delivery drivers rather than take on Milkrun’s payrolled delivery driver and 10 minute delivery window model. Milkrun powered by Metro is available more widely than Milkrun was, operating in over 500 suburbs across Sydney, Melbourne, Brisbane, Gold Coast, Canberra and Newcastle with more to come.

“We’ve long admired Milkrun’s innovative brand, dedication to customers and ambition to shake up the grocery delivery model. We are thrilled that the Milkrun story will continue to live on and thrive with Metro60 relaunching as Milkrun now powered by Metro,” Woolworths Group CEO, Brad Banducci, said in an email.

“Orders will be fulfilled from our network of Metro stores which will give customers the choice of over 10,000 product lines including hot roast chickens, fresh sushi and much more.”

Milkrun collapsed two months ago with co-founder Dany Milham announcing the shut down to staff Tuesday morning in an email. “I’m writing to let you know that we have made the difficult decision to wind down the business, and as a result, MilkRun will cease trading this Friday,” he said.

“Since we announced our structural changes in February, economic and capital market conditions have continued to deteriorate, and while the business has continued to perform well, we feel strongly that this is the right decision in the current environment.”

Milham will not remain with the company as it passes into Woolworths hands “Milkrun pioneered rapid grocery delivery in Australia, and I’m pleased to see the brand continue in Woolworths hands,” he stated.

The company announced the news today in an Instagram post reading: “The cat is well and truly out of the bag. Milkrun is back in the game and now powered by Woolies. That means you now get a 10,000+ range, tons of deals and delivery in minutes thanks to our delivery partners. Download the brand new, shiny Milkrun app and let’s get this grocery delivery party restarted. Feels good to be back.”

The Metro60 website has been rebranded to reflect the change, with FAQs confirming that customers will be able to collect Everyday Rewards points with their purchases.

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About the Author: Rosalea Catterson

Rosalea is the Editor of Power Retail. With a keen interest in consumer behaviour and tech, she covers everything ecommerce and hosts the Power Retail Power Talks Podcast.

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