Walmart Expands Same-Day Delivery, Looks to Match Amazon

Posted March 15, 2018

By the end of the year though, Walmart plans to expand its same-day grocery delivery to more than 100 different cities across the country.

Walmart announced today that it plans to expand its Online Grocery Delivery service.

The company will use a team of personal shoppers to pull together orders in stores and team up with crowdsourced delivery services, including Uber, to send the groceries, according to CNET. The retailer will use some 18,000 personal shoppers to fulfill the orders and delivery services to get the items to the customers.

Walmart's marked focus on "freshest produce" is likely another signal that its countering Amazon's big grocery push - bolstered by the e-giant's $13.7 billion Whole Foods buy past year. A minimum purchase of $30 is required and users will pay a $9.95 fee.

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Walmart is expecting to make pickup of online orders of groceries available in 2,200 stores before the start of 2019.

Further, Walmart's grocery pickup services have been highly appreciated by customers, giving them the flexibility to order products on the go.

Ward noted that Walmart is learning from its delivery services in such countries as China and the United Kingdom.

Just over a week later, Walmart announced membership changes to its bulk retailer Sam's Club, which also included free shipping on many items. Amazon acquired Whole Foods previous year and plans to expand the delivery service nationwide.

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"It reflects a willingness to take on a cost that many others have been pushing off onto delivery services like Instacart and Shipt", he said.

Walmart is the latest retail company to step up its home delivery game for online grocery orders. Before committing to a national expansion, Walmart had to first figure out how to cut shipping costs and make grocery delivery a more efficient and scalable part of its business.

With such strong endeavors to bolster its position in the delivery services arena, Walmart seems to be striking the right chords when it comes to competing with big box retailers and more particularly with AMZN. Whole Foods also now offers delivery through Instacart, which ships groceries for Kroger, Acme and Costco, too.Target late previous year bought online grocery delivery startup Shipt for $550 million, adding to the competition. Tampa is one of six markets — Orlando and Dallas are also on that list — that has been acting as a trial run.

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