GroceryWorks(TM), a Dallas-based online home fulfillment business, and Randalls Food Markets announced today that they are bringing home delivery to Austin area residents beginning mid-September.

“Austin consumers are among the country’s most Internet savvy, and we believe they will appreciate the value and convenience of online grocery shopping,” said Gary Fernandes, CEO of GroceryWorks. “We are excited to join with Randalls to bring Austin a new way to shop for groceries and are committed to delivering the highest-quality products, superior customer service and at-home delivery convenience at Randalls in-store prices.”

In June, GroceryWorks formed an alliance with Safeway, the parent company of Randalls and Tom Thumb, to become the company’s exclusive online grocery channel. Under the terms of this arrangement, GroceryWorks and Safeway will bring online grocery shopping to markets where Safeway operates. The service will operate in Austin as “ by Randalls.” When the website is launched in mid-September, customers can find out if their neighborhood is included by entering their zip code after signing onto

“We know how important the convenience of online grocery shopping is to our Austin customers,” said Frank Lazaran, president of Randalls Food Markets, Inc. “We are committed to exceeding the expectations of our customers, and by Randalls fits the bill by offering a depth of service unlike any other. This is an innovative solution to the needs of our time-pressed, quality-conscious customers.” by Randalls is working to redefine how consumers shop for groceries online. The arrangement combines Randalls’ purchasing power and well-respected products and customer service with GroceryWorks’ superior online business model, web merchandising, web fulfillment, and home delivery and routing systems. Grocery orders are filled using a highly automated distribution center, and delivered by professional and courteous drivers.

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“We think Austin residents will be pleasantly surprised to experience the GroceryWorks way of online grocery shopping,” said Kelby Hagar, founder and president of GroceryWorks. “Between our state-of-the-art technology, our commitment to excellent quality and service and our alliance with Randalls, we intend to redefine the way Austinites buy their groceries online.”

Some of the benefits that customers will enjoy include:

  • The convenience of shopping online for a large selection of items, including meat, fish, produce, prepared meals, refrigerated and frozen foods
  • Randalls in-store pricing and weekly specials, plus extra online specials
  • The ability to use the Randalls Remarkable Card online – participating customers will earn Continental Airlines® OnePass® miles or American Airlines® AAdvantage® miles
  • “SmartList” – a feature that allows up to the last 250 of the customer’s items purchased at Randalls to be automatically entered into the shopping cart
  • Acceptance of Manufacturers’ coupons (online and traditional)
  • Easy return policy
  • Free delivery – there is never a delivery charge – and tipping isn’t allowed
  • Only the highest quality of groceries, including organic and specialty produce

On the by Randalls website to be launched in mid-September, consumers will find a simple, quick and enjoyable shopping experience with innovative site features, such as scrolling aisles, well-organized product categories, personalized “SmartList” options and search categories and an online tutorial. The site also incorporates new back-end technology designed to handle more visitors and process more transactions in a secure environment.

Service hours are “virtually” round-the-clock. Shoppers can order anytime – 24 hours a day. Grocery orders, which require a $50 minimum, are delivered between 3 p.m. and 9 p.m., Tuesday – Saturday. GroceryWorks currently operates in Dallas, Fort Worth and Houston.

About GroceryWorks

GroceryWorks is headquartered in Dallas, Texas. Through its unique service model, GroceryWorks is able to deliver the highest quality in food and groceries – including fresh produce, meat and poultry and other perishables – with same-day convenience, excellent customer service and comparable pricing.

Founded in 1999 by Kelby Hagar, a 30-year old Harvard-educated lawyer, GroceryWorks adheres to a “virtual inventory” business model, combining a sophisticated fulfillment and distribution system with same-day delivery of the highest quality groceries.

In January, GroceryWorks announced the appointment of former Electronic Data Systems (EDS) Corporation vice chairman Gary J. Fernandes as its Chairman and CEO. In June, GroceryWorks signed an agreement with Safeway Inc. Under the terms of the agreement, GroceryWorks operates as Safeway’s exclusive online grocery channel.