Tesco preps Attabotics tie up to install micro-fulfillment systems for online grocery orders

Tesco has entered into an agreement with Attabotics that will see the UK grocery giant tapping the firm’s micro-fulfillment systems to fulfill online grocery orders.

It’s a move that is likely in line with plans to grow Tesco’s Whoosh and Marketplace offerings.

According to a report by Brittain Ladd, a supply chain consultant and former Amazon executive, citing multiple unnamed sources, it has evaluated numerous micro-fulfillment solutions on the market including AutoStore and Fabric.

The retailer looked at the technology from Attabotics for nearly two years before entering into an agreement to purchase and install a system. It required the Canadian company to meet stringent requirements across a variety of areas including picking speed, uptime, ease of use, and safety.

“I believe the evaluation of Attabotics by Tesco is the most thorough micro-fulfillment search and selection process ever conducted by a retailer. Bravo Tesco!” Ladd said.

“CEO and Founder of Attabotics, Scott Gravelle, senior executives, and the entire Attabotics team, has worked diligently over the last several years to design and introduce new technology, and improve the software utilised by Attabotics. The sales team has signed new customers, while engineering has installed more systems for current customers.”

“Attabotics also trimmed its headcount in several departments “to increase our ability to make decisions and execute even faster” which resulted in a small number of layoffs recently. I continue to rank Attabotics as being one of the most advanced robotics and fulfillment companies on the market. It deserves to be congratulated for signing Tesco as a new customer.”

Tesco is arguably one of the most advanced grocery retailers in the world, Ladd argued.

“I think very highly of it. I think it has one of the best automated grocery fulfillment programmes in Europe and globally. I’ve had multiple discussions with executives from Tesco about MFCs and automation. I agree with the majority of the strategy.”

He added that containers loaded with the Attabotics system are now on their way to England. The installation of the MFC will begin in the near future. Tesco has committed to installing additional MFCs from Attabotics depending on the results of the first installation.

Ladd concluded: “Amazon, Walmart, H-E-B, and Kroger have invested heavily to automate online grocery fulfillment utilising a variety of micro-fulfillment systems and robotics. The use of MFCs is going to accelerate. The future of groceries is automation.”

Tesco did not respond to our request for comment.

UPDATE: Ladd has updated his post with the claim that Attabotics has filed for bankruptcy.

The company has made no official announcement about this and did not respond to our request for comment. RTIH is waiting on confirmation from Tesco on whether the aforementioned partnership is now going ahead and how it will work.

2025 RTIH INNOVATION AWARDS

Online grocery fulfillment will be a key focus area at the 2025 RTIH Innovation Awards.

The awards, which are now open for entries, celebrate global tech innovation in a fast moving omnichannel world.

Our 2024 hall of fame entrants were revealed during an event which took place at RIBA’s 66 Portland Place HQ in Central London on 21st November, and consisted of a drinks reception, three course meal, and awards ceremony presided over by comedian Lucy Porter.

In his welcome speech, Scott Thompson, Founder and Editor, RTIH, said: “The event is now into its sixth year and what a journey it has been. The awards started life as an online only affair during the Covid outbreak, before launching as a small scale in real life event and growing year on year to the point where we’re now selling out this fine, historic venue.”

He added: “Congratulations to all of our finalists. Many submissions did not make it through to the final stage, and getting to this point is no mean feat. Checkout-free stores, automated supply chains, immersive experiences, on-demand delivery, next generation loyalty offerings, inclusive retail, green technology. We’ve got all the cool stuff covered this evening.”

“But just importantly we’ve got lots of great examples of companies taking innovative tech and making it usable in everyday operations - resulting in more efficiency and profitability in all areas.”

Congratulations to our 2024 winners, and a big thank you to our sponsors, judging panel, the legend that is Lucy Porter, and all those who attended November's gathering. 

For further information on the 2025 RTIH Innovation Awards, please fill in the below form and we will get back to you asap.