Get a bottled drink delivered in two hours or less, thanks to the new micro-fulfillment company
You want that bottle of wine, that craft beer, or that canned coffee… and do you want it now, or as close as possible to now? While many online shopping platforms allow next day delivery and same day shipping, this near instant gratification required physical purchases for such things.
Enter Ohi. This New York-based micro-fulfillment company allows brands to sell their products to customers within two hours of delivery, made possible by its network of “micro-warehouses” in major metropolises like New York and Los Angeles. “We’re really focused on drinks and beauty,” says Ben Jones, CEO and founder of Ohi.
Ohi started just over a year ago, but the volume of beverage brands has grown tenfold from the end of March, and it has quadrupled the number of brands using its services since March. “Previously, if you wanted something right away, your option is to go to your local CVS and buy it, but if you’re trying to compete with that directly to the consumer, you have to deliver that similar level of experience.” Jones said. “It’s more instant gratification.”
Ohi offers sustainable same-day or two-hour delivery options for consumers who shop between 10:00 am and 6:00 pm, seven days a week. Using proprietary technology, Ohi positions inventory for its partner brands closer to the end consumer, using a network of small warehouses located in city centers, and Ohi is partnering with courier services to ensure parcel transport, sometimes via foot and bicycle couriers. “Our customers are very happy to order Athletic in the afternoon and have it on hold when they get home,” said Jamie Lissette, CEO of Athletic Brewing Society. “A customer ordered at 5:30 p.m. and had it delivered before 6:00 p.m., perfectly synchronized with his Uber Eats order. We sell thousands of packs of non-alcoholic beer per week, and it’s great to have same day options in some metropolitan areas. “
“We help brands predict what to send to us,” Jones says. “For example, we could say ‘you’re going to sell 30 of them next month so they’ll send it on a big truck to our location, and then our payment system gives consumers the option of two hours or the same day. “
Ohi works with many different couriers to ensure this two hour or same day delivery window. “It often happens within half an hour,” Jones says. “It’s really fast, and we have customers texting us like, ‘This is amazing. Normally I have to wait five days, and now I get it in under two hours.
Part of Ohi’s incredible growth can be attributed to the overall growth in direct-to-consumer sales due to the COVID-19 virus. “I think this will continue to grow,” Jones said.
Michael Sharon, CEO and co-founder of Taika, a brand of canned specialty coffee, says Ohi has enabled his business to quickly transition to direct-to-consumer sales. “By early 2020, we had built a strong business delivering our perfectly calibrated adaptogen brewed coffee directly to startups in San Francisco,” said Sharon. “As soon as the pandemic hit in March, 100% of those customers were gone, but we were able to use Ohi to go overnight from becoming a B2B business to delivering DTC coffee within two hours. “
Sharon points out that Taika’s transition from B2B to DTC happened at the very beginning of the pandemic, when many companies were taking weeks to deliver their products directly to consumers, and Ohi helped Taika deliver more than 50,000 cans of café within four months of launch. . “Ohi was also the only company we were able to do this with in the three cities where we operate: New York, Los Angeles and San Francisco,” says Sharon. “They simplified the process of storing and delivering our chilled coffee and allowed us to focus on innovation in product experience and our marketing rather than building a team to manage backend operations. . “
“We regularly receive delighted text messages from our customers telling us how much they value the speed of delivery,” says Sharon.
Same-day delivery options have been a game-changer for OLIPOP, healthy alternatives to soda. “Same-day drinks really brighten up our customers’ days,” says Eli Weiss, Director of Customer Experience. “Being able to find a delicious drink they love in the morning and have it later in the day has really improved our offering, and Ohi’s attention to detail on every delivery has really been a game-changer for us.”
“The element of surprise – and delight – for the customer to see the same day shipping option on our site and to receive the product so quickly, sometimes in less than an hour, is incredible,” adds Steven. Vigilante, growth marketing for OLIPOP. . “This has created some awesome UGC (User Generated Content) moments for us on social media. It is also extremely beneficial for us to be able to quickly send products to influencers and celebrities in two of our key markets,” New York and Los Angeles.
Recently, OLIPOP launched a new flavor, and Vigilante says Ohi was integral to their success. “Launching our Orange Squeeze a few weeks ago with same day delivery has dramatically improved our overall execution of this launch,” he says.
Ohi integrates an average of 60 new brands per month. “We continue to grow and accelerate,” Jones says. “If you put yourself in the shoes of consumers, if they get products within two hours, that’s what they expect, and that becomes the new normal. ”
Ohi intends to expand and eventually he could have a network of micro-distribution centers across the country. “I hope that we will continue to grow very quickly and create new brands and new markets to deliver this incredible experience to consumers across the United States.”