Ocado to launch 'virtual shop window' for Apple iPhone users

Ocado, the online grocery retailer, will come the closest it has ever been to its own branded high street presence this month with the launch of a "virtual shop window" at London's One New Change shopping centre.

A driver checks his load before leaving to deliver orders at the Ocado Ltd. distribution center in Hatfield, UK
About 15pc of Ocado transactions take place on a mobile phone, but the online retailer is hoping the virtual shop windows will lift this figure Credit: Photo: Bloomberg News

The window, which will be available 24 hours a day for a week from August 25, will allow customers with iPhones or Android smartphones to fill their online baskets by scanning physical products.

Shoppers will be able to download the Ocado On The Go shopping app and press a barcode symbol at the top of the screen. They will then be able to scan the barcodes of hundreds of products – ranging from staples such as toilet rolls to upmarket produce in the Daylesford Organic range - and add them to their virtual basket.

If successful, Ocado could replicate the scheme around the UK to build a high street presence.

Jason Gissing, Ocado's co-founder, said: "We'll be looking at options around continuing this 'virtual window shopping' approach."

About 15pc of Ocado transactions currently take place on a mobile, but the online retailer is hoping the virtual shop windows will lift this figure, helping it out of a turbulent few months, characterised by chief executive Tim Steiner as "growing pains".

Earlier this month, Goldman Sachs, which helped lead Ocado's flotation last year, downgraded its forecasts for the retailer.