Drive-Up Grocer Enters Market

Addie's launches a 22,000-square-foot concept store in Norwood, Massachusetts, with $10.1 million in seed funding.
Jacqueline Barba
Digital Editor
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Drive-up grocer Addie's officially launched its first concept store on Jan. 26 in Norwood, Massachusetts, with $10.1 million in seed funding.

The funding was led by the Disruptive Innovation Fund, the venture capital arm of Clay Christensen's Rose Park Advisors.

Rather than bringing together in-store shopping, online grocery and DTC delivery models, Addie's built a simpler shopping experience: a pickup-only store designed solely for stocking, storing and bagging groceries without shoppers stepping foot inside. Shoppers purchase groceries through Addie's custom app or website and choose a preferred pickup window.

With this format, Addie’s has reimagined the grocery shopping experience, from inventory management to store layout, according to recent media release.

The store operates as an onsite warehouse and the parking lot as a convenient drive-up experience. Spanning 22,000 square feet, the store uses just a quarter of the energy required of regular supermarkets, Addie's says.

The grocer stocks a curated selection of national brands and local goods, routinely enhancing its assortment based on customer searches and requests.

"We believe that taking better care of busy families should be done in a way that also takes care of our team, our community and our planet," Jim McQuade, co-founder and CEO of Addie's, said in the release. "With our seed funding, we've built an end-to-end experience to serve people in and around Norwood in a way that can be replicated in suburbs nationwide. We look forward to quickly expanding, offering busy families across the country drive-up grocery convenience without compromise."

"The 100-year-old grocery business is not immune to disruption," Matt Christensen, CEO and managing partner at Rose Park Advisors, added. "The traditional business model of in-store shopping makes serving convenience-focused shoppers highly challenging. We see disruptive potential in Addie's technology-powered drive-up grocery model and are excited to support them as they launch."