NEW YORK & ST. LOUIS--(BUSINESS WIRE)--Save A Lot, one of the largest discount grocery chains in the U.S., and Fabric, a leading provider of advanced fulfillment automation solutions, today announced a new partnership to provide innovative fulfillment solutions for on-demand grocery delivery with the opening of a Brooklyn-based micro fulfillment center. This collaboration combines Fabric’s automation with Save A Lot’s affordable grocery essentials to enhance convenience for value-conscious consumers.
The rising cost of living has driven more customers to seek value-driven options with a focus on affordable prices and reliable delivery. Recent studies show that 77% of customers abandoned their online carts in 2023 due to dissatisfaction with delivery options, signaling the need for better logistics and supply chain efficiency. Consumer demand for grocery delivery also jumped nearly 10% in June of 2024 as compared to the same period in 2023.
By improving its fulfillment strategy with Fabric, Save A Lot addresses these concerns and lays the foundation for long-term customer satisfaction in a market hungry for low-priced, high-quality groceries. This effort is part of a larger expansion, which includes a push into New York City to enhance last-mile delivery options. Orders placed from the Brooklyn online storefront on the Uber Eats app will be delivered to doorsteps by Uber couriers, bolstering Save A Lot’s ongoing partnership with Uber.
“At Uber we know consumers are looking for fast delivery options for fresh, affordable grocery essentials, so we’re pleased to be partnering with both Save A Lot and Fabric who continue to innovate in the space,” said Nathan Bernheim, Head of Enterprise Sales for Grocery and Retail at Uber. “Together we can bring essential items to communities that need them in entirely new ways.”
Fabric facilities boast retention rates in the 90% range, thanks to higher wages and lower turnover than traditional grocery stores. This efficiency translates directly to consumers: while large grocery orders typically take up to two hours to fulfill, Fabric assembles 50-item orders in just 6-8 minutes, enabling fast 30-minute pick-up and delivery options. This model could revolutionize "free" 30-minute pick-up and delivery by combining the affordability of discount grocers like Save A Lot with advanced low-cost automation, resulting in better economics than traditional brick-and-mortar grocery stores.
“At Save A Lot, we’re committed to keeping prices low and making sure our customers have access to the essentials, especially as inflation continues to affect household budgets,” said Bill Mayo, chief operating officer at Save A Lot. “Our partnership with Fabric and expansion into micro-fulfillment will streamline operations and allow us to offer accessibility to consumers wherever they are at competitive prices. We’re excited to bring this affordable, convenient shopping experience to the New York market.”
The partnership’s first-of-its-kind, consumer delivery center will launch this month at the Brooklyn warehouse, where Fabric’s advanced cube-based storage system will automate Save A Lot’s grocery fulfillment exclusively for direct-to-consumer delivery across Brooklyn. Fabric’s solutions streamline operations, boost efficiency, and enhance customer experiences.
“Our partnership with Save A Lot uses advanced automation to tackle one of today's biggest challenges—rising consumer prices,” said Curt Avallone, co-CEO of Fabric. “Our micro-fulfillment technology improves efficiency across the supply chain, helping retailers address the broader operational needs while delivering an exceptional customer experience. We’re proud to support the mission to make quality, affordable groceries more accessible.”
Fabric and Save A Lot Open Brooklyn-Based MFC
Fabric and Save A Lot have launched a new Brooklyn-based micro-fulfillment center (MFC), enhancing affordability and accessibility for consumers. This site marks a key milestone in the partnership as it begins processing customer orders with improved productivity. The MFC is a key part of Save A Lot's strategy to optimize fulfillment and maintain low prices, ensuring efficiency and affordability for all consumers.
Order groceries from Fabric’s Brooklyn MFC via Uber Eats.
About Save A Lot
Founded in 1977, Save A Lot is the largest independently owned and operated discount grocery store chain in the U.S., with approximately 750 stores in 32 states. True to its mission of being a hometown grocer, Save A Lot provides unmatched quality and value to local families. Customers enjoy significant savings compared to traditional grocery stores on great tasting, high quality private label brands, national brand products, USDA-inspected meat, farm-fresh fruits and vegetables, and other non-food items. For more information visit www.SaveALot.com and follow Save A Lot on Facebook (facebook.com/savealot), Twitter (@savealot), and Instagram (@SaveALotFoodStores), or for more information on becoming a Save A Lot independent retail operator, visit ownasavealot.com.
About Fabric
Fabric is a world-class automated fulfillment solution that enables retailers to achieve profitable E-commerce fulfillment with high-throughput and high-density automation. Our automated fulfillment solution combines state-of-the-art hardware and software, meticulously designed through years of experience operating e-commerce and grocery sites. Through technology and vast experience, Fabric ensures that each aspect of the fulfillment process, from inbound to outbound, is optimized to rival the harmonious performance of a symphony. With Fabric, retailers gain the tools they need to stay ahead in the rapidly evolving E-commerce landscape and unlock business value to meet customers wherever and whenever they are. Fabric, Mastering the Fulfillment Symphony.
Fabric was established in 2015 and has raised $375M from leading investor partners, including Temasek, Corner Ventures, Union Tech Ventures, Playground, Innovation Endeavors & Aleph. Fabric headquarters in Tel Aviv, with a main office in New York and teams throughout the United States and EU. For more information, visit getfabric.com.
