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Why Bed Bath & Beyond’s Same-Day Shipping Initiative Matters

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Bed Bath said digital orders were up 82% in its most recent quarter, a bright spot in an otherwise choppy report.


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In a calendar already awash in holiday sales news,

Bed Bath & Beyond

announced Tuesday that it would offer same-day delivery. It is another sign that the troubled retailer is looking to up its omnichannel game as part of its turnaround effort.

Bed Bath & Beyond (ticker: BBBY) said its flagship Bed Bath locations and Buybuy Baby stores will offer same-day delivery for a flat-rate fee of $4.99 for orders of more than $39. The company is partnering with Shipt and Instacart, and its products will also be available on these services’ websites.

The move follows the retailer’s offering of contactless curbside and in-store pickup, a result of the Covid-19 pandemic. Bed Bath said digital orders were up 82% in its most recent quarter, a bright spot in an otherwise choppy report.

The market appeared less than impressed, sending Bed Bath shares down 2.8% to $14.46 Tuesday morning as the

Dow Jones Industrial Average

traded near the flat line. However, it is an encouraging move from a new management team looking to break with a history of missed opportunities.

Robert W. Baird analyst Peter Benedict, who upgraded Bed Bath to Outperform last week, expects this to be just the first of multiple changes, as the company plans to roll out private brands next year and remodel stores. “While driving store traffic/discovery will require investment, Bed Bath customers seem poised to experience elevated newness in 2021 (and beyond).”

Change is needed, given years of mismanagement that dogged Bed Bath, and caused it to fall behind at a critical time in retail. While challenges remain, the pandemic has provided at least one tailwind, in that people

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Bed Bath & Beyond partners with Shipt, Instacart for same-day delivery

Bed Bath & Beyond said Tuesday it will begin providing same-day delivery, just in time for the holiday season, and as more people than ever are shopping online during the coronavirus pandemic. 

Bed Bath & Beyond and buybuy Baby stores across 48 states will offer the service, but customers must reside in eligible ZIP codes to use it. There will be a flat-rate fee of $4.99 for orders of more than $39. As of May 30, Bed Bath & Beyond had a total of 1,478 stores, including 955 of its namesake shops and 127 buybuy Baby locations. 

Bed Bath & Beyond is partnering with Target-owned Shipt, which helps fulfill same-day orders for a number of other retailers including Costco and Kroger, and Instacart. Existing Shipt customers will still receive free, same-day delivery on all orders above $35 when they shop directly through the Shipt platform, the company said. 

“The important thing is … to make sure we get this in place before the holidays,” said Bed Bath & Beyond Chief Digital Officer Rafeh Masood. “It’s another way for customers to shop us when safety is top of mind.” 

The rollout follows Bed Bath & Beyond earlier this year debuting a buy online, pick up in store option, and contactless curbside pickup during the pandemic. For the quarter ended May 30, its online sales surged 82% — with increases of more than 100% during April and May — as shoppers flocked to Bed Bath & Beyond’s and buybuy Baby’s websites for hand sanitizers, bread makers and diapers. 

Retail rivals have been speeding up their same-day delivery options: Amazon in some states is now promising orders will arrive in less than five hours. Walmart is also working with Instacart. And Target has been offering a same-day option for items including groceries via

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Bed Bath & Beyond teams with Shipt and Instacart for same-day delivery before holidays

  • Bed Bath & Beyond announces the launch of same-day delivery. 
  • The retailer is partnering with Shipt and Instacart to offer the service. 
  • The option will be available to customers in eligible ZIP codes at a flat-rate fee of $4.99 for orders of more than $39 at Bed Bath & Beyond and buybuy Baby. 



a group of people walking in front of a store: People wearing protective masks practice social distancing as they line up to go into a store as some restrictions begin to lift during the coronavirus pandemic on May 18, 2020 in New York City.


© Provided by CNBC
People wearing protective masks practice social distancing as they line up to go into a store as some restrictions begin to lift during the coronavirus pandemic on May 18, 2020 in New York City.

Bed Bath & Beyond said Tuesday it will begin providing same-day delivery, just in time for the holiday season, and as more people than ever are shopping online during the coronavirus pandemic. 

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Bed Bath & Beyond and buybuy Baby stores across 48 states will offer the service, but customers must reside in eligible ZIP codes to use it. There will be a flat-rate fee of $4.99 for orders of more than $39. As of May 30, Bed Bath & Beyond had a total of 1,478 stores, including 955 of its namesake shops and 127 buybuy Baby locations. 

Bed Bath & Beyond is partnering with Target-owned Shipt, which helps fulfill same-day orders for a number of other retailers including Costco and Kroger, and Instacart. Existing Shipt customers will still receive free, same-day delivery on all orders above $35 when they shop directly through the Shipt platform, the company said. 

“The important thing is … to make sure we get this in place before the holidays,” said Bed Bath & Beyond Chief Digital Officer Rafeh Masood. “It’s another way for customers to shop us when safety is top of mind.” 

The rollout follows Bed Bath & Beyond earlier this year debuting a buy online, pick up in store option,

Continue Reading