New Relic powers Ocado's cloud migration

Ocado realizes six-figure savings with enhanced cloud visibility

New Relic

Observability

April 10, 2025

4

min read

Ocado, a pioneering "pure play" online grocery operator founded in 2000, has transformed the e-commerce landscape with its innovative technology and systems. Ocado Technology, the driving force behind this success, comprises a global team of software developers, engineers, researchers, and scientists dedicated to powering Ocado's online retail business and developing cutting-edge e-commerce solutions like the Ocado Smart Platform (OSP).

Facing increasing business demands in 2014, Ocado strategically migrated to Amazon Web Services (AWS) for enhanced flexibility and scalability. However, their existing monitoring dashboards were incompatible with the new cloud infrastructure. To address this challenge, Ocado turned to New Relic for comprehensive visibility into their systems and platforms during the cloud migration, integrating over 100 microservice applications into the OSP platform. New Relic APM provided the confidence needed to ensure a smooth transition and proactively address any emerging issues.

With a globally distributed team of 1,000 developers, Ocado leveraged New Relic as a central overview and communication tool. New Relic's out-of-the-box features enabled effective team collaboration without complex configurations. The combined data from New Relic APM and browser monitoring helped highlight performance issues and identify their root causes, leading to rapid resolution and improved customer experiences. Dashboards and alerts also played a crucial role in identifying and resolving issues within Ocado's highly automated warehouses, resulting in significant cost savings.

Value Results:

  • Cost Savings: Realized £100,000 per year in savings through improved automation and monitoring capabilities.

  • Enhanced Visibility: Gained comprehensive visibility into over 100 microservices and applications, ensuring a smooth cloud migration.

  • Faster Issue Resolution: Pinpointed the root cause of performance degradations in real-time, minimizing impact on customer orders.

  • Improved Customer Experience: Monitored frontend performance with New Relic browser monitoring, ensuring solutions worked effectively for customers.

  • Streamlined Collaboration: Provided a central overview and communication tool for a globally distributed team of 1,000 developers.