Sounds like they just put them in the wrong places. > Fenyo added that Kroger’s decision to locate the Ocado centers outside of cities turned out to be a key flaw. > “Ultimately those were hard places to make this model work,” said Fenyo. “You didn’t have enough people ordering, and you had a fair amount of distance to drive to get the orders to them. And so ultimately, these large centers were just not processing en…
Yeah, because arguably the main advantage of Ocado's warehouse is that it's extremely dense: you can pack a lot of storage in a very small area and still access it reasonably efficiently. But this only matters if space is at a premium, like near towns and cities (and for low-margin deliveries, you want your drivers to not have to go very far to your customers).