As part of the agreement, Ocado and Lotte will develop a series of customer fulfilment centres across South Korea, backed by Ocado Smart Platform technology, as well as Ocado's in-store fulfilment solution.
The two companies plan to develop six customer fulfilment centres across South Korea by 2028, the first of which will go live in 2025.
Mature E-Commerce Market
“This partnership brings the Ocado Smart Platform, the most advanced technology for serving online grocery, to one of the most mature e-commerce markets in the world," commented Ocado chief executive Tim Steiner.
"I'm delighted to welcome Lotte to the innovative group of retailers developing their online operations with Ocado. With this new partnership, our unique, proprietary technology will now power the online businesses of twelve major retailers across ten countries worldwide."
About Lotte Shopping
Lotte Group, which reported total annual revenue of 75 trillion KRW (€52.2 billion) last year, boasts retail, food, hotels and chemicals operations, with its Lotte Shopping arm running more than 1,000 stores nationwide, including department stores, hypermarkets, supermarkets and e-commerce operations.
“This partnership with Ocado, one of the most innovative companies worldwide, will be a great opportunity for Lotte Shopping to provide our customers with a new online grocery shopping experience," added Kim Sang-hyun, CEO of Lotte Shopping,
"Also I expect this will be the first step for us on the way not only to increasing our competitiveness and presence in the e-grocery market, but also to achieving the leading position in the overall grocery market in Korea.”
Ocado Group said that it expects this deal to 'create significant long term value to the business'.