Loblaw expanding online grocery pick-up and delivery business across Canada

Click to play video: 'Grocery industry predicts explosion of online shopping'
Grocery industry predicts explosion of online shopping
WATCH ABOVE: If you're not yet doing your grocery shopping online, experts in the industry say you probably will be, sooner rather than later. Anne Drewa takes a look into the future – Apr 25, 2018

Loblaw Companies Ltd. has announced plans to expand its grocery pick-up and delivery services across the country this year.

The company plans to add home delivery to five more markets this year, including Montreal, Halifax and Regina.

READ MORE: Grocery giant Loblaw demands suppliers cut prices to lower grocery bills

Late last year, the company partnered with California-based Instacart to launch home delivery in two Canadian cities. It is currently available in 11 markets, including Toronto and Vancouver.

WATCH: Instacart Canada general manager Andy Anthony joins Global News Morning Calgary to talk about the future of online grocery shopping in Alberta and the launch of Instacart online-to-doorstep service.

Click to play video: 'The future of online grocery shopping in Alberta'
The future of online grocery shopping in Alberta

Loblaw also says it plans to expand its click-and-collect program, which allows customers to order groceries online and pick them up, with 500 new pick-up sites this year.

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By the end of 2018, the retailer aims to have more than 700 pick-up locations — including more grocery stores, GO Train commuter stations in the Toronto area, and the first of many Shoppers Drug Mart stores.

Loblaw operates grocery stores under several names, including Real Canadian Superstore, Extra Foods, No Frills, Independent, Wholesale Club and Dominion.

READ MORE: Traditional grocery stores catching up with Walmart and Costco prices

The announcement came as Loblaw raised its quarterly dividend to 29.5 cents per share from 27 cents per share and reported improved quarterly earnings.

Loblaw earned a profit attributable to common shareholders of $377 million or 98 cents per diluted share on $10.37 billion in revenue for the quarter ended March 24. That compared with a profit of $232 million or 58 cents per share on $10.40 billion in revenue in the same quarter last year.

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