Pink Dot
Encyclopedia
Pink Dot is a Los Angeles
Los Ángeles
Los Ángeles is the capital of the province of Biobío, in the commune of the same name, in Region VIII , in the center-south of Chile. It is located between the Laja and Biobío rivers. The population is 123,445 inhabitants...

–based chain of grocery store
Grocery store
A grocery store is a store that retails food. A grocer, the owner of a grocery store, stocks different kinds of foods from assorted places and cultures, and sells these "groceries" to customers. Large grocery stores that stock products other than food, such as clothing or household items, are...

s that is known for delivering items such as groceries, deli food
Delicatessen
Delicatessen is a term meaning "delicacies" or "fine foods". The word entered English via German,with the old German spelling , plural of Delikatesse "delicacy", ultimately from Latin delicatus....

, cigarette
Cigarette
A cigarette is a small roll of finely cut tobacco leaves wrapped in a cylinder of thin paper for smoking. The cigarette is ignited at one end and allowed to smoulder; its smoke is inhaled from the other end, which is held in or to the mouth and in some cases a cigarette holder may be used as well...

s, and alcohol
Alcoholic beverage
An alcoholic beverage is a drink containing ethanol, commonly known as alcohol. Alcoholic beverages are divided into three general classes: beers, wines, and spirits. They are legally consumed in most countries, and over 100 countries have laws regulating their production, sale, and consumption...

. The store is open 365 days a year. Pink Dot is best known in Los Angeles and has appeared in several movies and television shows, including HBO's Entourage
Entourage (TV series)
Entourage is an American comedy-drama television series that premiered on HBO on July 18, 2004 and concluded on September 11, 2011, after eight seasons...

.

History

Entrepreneur Bill Toro founded the chain in 1987 with the purchase of a single liquor store
Liquor store
In the United States, Australia and Canada, a liquor store is a type of store that specializes in the sale of alcoholic beverages. In South Africa and Namibia these stores are generally called bottle stores....

. His idea to create a delivery-based operation arose from numerous complaints he observed about the traffic in Los Angeles. Pink Dot is a privately owned corporation with 70% ownership stake belonging to investors and Toro retaining the remaining 30% control.

In 1996 Pink Dot was referred to as a rapidly expanding grocery delivery company in a Los Angeles Times
Los Angeles Times
The Los Angeles Times is a daily newspaper published in Los Angeles, California, since 1881. It was the second-largest metropolitan newspaper in circulation in the United States in 2008 and the fourth most widely distributed newspaper in the country....

story that noted the store guaranteed delivery in 30 minutes or less for a service charge of $1.99. Orders were filled from five warehouses, "three of which opened in the last two months" with plans to open six more distribution centers by March including one in Orange County
Orange County, California
Orange County is a county in the U.S. state of California. Its county seat is Santa Ana. As of the 2010 census, its population was 3,010,232, up from 2,846,293 at the 2000 census, making it the third most populous county in California, behind Los Angeles County and San Diego County...

. Company executives predicted home delivery would be a "big part of the changing face of retail".

As Pink Dot prepared to expand into Orange County, it phased out its signature polka-dotted, propeller-topped Volkswagen Beetle
Volkswagen Beetle
The Volkswagen Type 1, widely known as the Volkswagen Beetle or Volkswagen Bug, is an economy car produced by the German auto maker Volkswagen from 1938 until 2003...

 delivery cars after market tests showed that Orange County residents wanted their purchases delivered in more low-profile vehicles. Many of the home delivery service companies flamed out after venture capital ran out in 2001.

Pink Dot has partnered with order takers such as the now-defunct Kozmo.com
Kozmo.com
Kozmo.com was a venture-capital-driven online company that promised free one-hour delivery of "videos, games, dvds, music, mags, books, food, basics & more" and Starbucks coffee in several major cities in the United States. It was founded by young investment bankers Joseph Park, Yong Kang and...

, as a way to expand the product line into items such as Compact Disc
Compact Disc
The Compact Disc is an optical disc used to store digital data. It was originally developed to store and playback sound recordings exclusively, but later expanded to encompass data storage , write-once audio and data storage , rewritable media , Video Compact Discs , Super Video Compact Discs ,...

s and pharmaceuticals. Kozmo.com was popular with party-goers and young families, but was unable to survive the bursting of the dot-com bubble
Dot-com bubble
The dot-com bubble was a speculative bubble covering roughly 1995–2000 during which stock markets in industrialized nations saw their equity value rise rapidly from growth in the more...

. The brick and mortar business continued to flourish.

Late 2000s

In 2008 Pink Dot announced a partnership with Ford Motor Company
Ford Motor Company
Ford Motor Company is an American multinational automaker based in Dearborn, Michigan, a suburb of Detroit. The automaker was founded by Henry Ford and incorporated on June 16, 1903. In addition to the Ford and Lincoln brands, Ford also owns a small stake in Mazda in Japan and Aston Martin in the UK...

 and began using the Ford Transit Connect
Ford Transit Connect
The Ford Transit Connect is a compact panel van developed by Ford Europe and designed by Peter Horbury, introduced in 2002 to replace the older Ford Escort and Fiesta-based Courier van ranges, which had ceased production in the same year....

, a delivery system that Pink Dot president Sol Yamini said was "room service for your home". Pink Dot's success has been credited to its niche business plan. As one restaurant analyst noted, "They don't have a whole lot of competition. Let's face it, 7-Eleven
7-Eleven
7-Eleven is part of an international chain of convenience stores, operating under Seven-Eleven Japan Co. Ltd, which in turn is owned by Seven & I Holdings Co...

doesn't deliver."

External links

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