Why a business model popularized by milkmen is making a comeback

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What’s old is new again. As Americans insist on convenience in every aspect of their lives, grocery delivery—a model made popular long ago by milkman—is making a comeback nationally, USA Today reports.

“As more people get used to it, it’s become more popular,” says David Livingston, a supermarket consultant with Wisconsin-based DJL Research. “The business model for this has been getting better.”

Walmart’s announcement last week that it’s expanding its grocery delivery service to more than 100 metro areas with the potential to serve more 40% of U.S. homes is just the latest blast in this front-door food war.

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In Baton Rouge, grocers like Rouses, Matherne’s and Alexander’s Highland Market have all announced new delivery and curbside pick-up services in recent weeks.

Grocery delivery is a $4.5 billion industry—a small sliver of the $680 billion for grocery overall, according to the Chicago-based food industry consulting firm Pentallect, whose 2017 data excludes sales of pet food, health and beauty aids, flowers and alcohol. That figure is expected to jump 12.5% each year and reach $9 billion out of $735 billion in 2022.

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