Ocado Group and Asda have agreed a major ecommerce partnership that will see Asda adopt the Ocado Smart Platform (OSP) to modernise and expand its online grocery operations across the UK from 2027.

Under the deal, Ocado's end-to-end technology platform is set to replace Asda's existing in-house infrastructure across its store and dark store network. The rollout will include Ocado's webshop technology, in-store fulfilment systems and last-mile delivery software, enabling Asda to enhance online ordering, click-and-collect services and deliveries through aggregator platforms including Uber Eats, Deliveroo and Just Eat. Earlier this year, Asda partnered with Deliverect to integrate these rapid delivery platforms directly with its store systems.

Asda, which generated more than £21bn in sales during 2025 and currently fulfils over 700,000 online grocery orders each week, aims to strengthen its digital offering and improve customer experience through the partnership, one of the more significant recent deals involving UK grocery logistics.

Ocado’s shares rose by more than 13% after the outsourcing announcement.

Tim Steiner, CEO of Ocado Group, said: “We're delighted that Asda has chosen Ocado to support the next phase of their online growth. The UK remains one of the world's most competitive and fast-evolving online grocery markets, where technology, scale and continuous innovation are increasingly important for retailers looking to maintain leadership positions.”

Allan Leighton, executive chairman of Asda, added: “Partnering with Ocado will strengthen our online offer and provide a consistent and high-quality experience for millions of shoppers, from order through to delivery, while supporting our Formula for Growth.”

The companies will spend the coming months preparing for implementation, with the first phase of the platform expected to go live in early 2027. Ocado said the agreement is not expected to have a material financial impact in FY26 and reiterated its expectation of achieving positive cash flow in the second half of the current financial year and for the full year in FY27.

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