Walmart to have next-day delivery across 75% of US by end-2019
Walmart seeks to fight back against encroachment on its customer base by launching next-day delivery on more than 200,000 items
Although on paper, Walmart’s efforts appear threadbare compared to Amazon, which claims to offer next-day delivery on more than 10 million items, it is a statement of strategy from the supermarket giant.
Its focus on 220,000 items is to try and get a functional and competitive service up against Amazon in most major US metro areas through a better logistical network. They are focusing on their best-selling items first and also only giving free delivery to purchases exceeding $35.
This appears to suggest that Walmart is taking a carefully thought out and sustained approach to competing with Amazon by keeping costs manageable, planning fulfilment stock well in-advance and building out following their purchase of e-commerce business Jet.com in 2016. They will also be hoping that their expansion of in-store pick-up options, combined with expanded next day delivery will give them the muscle to go toe-to-tie with Amazon and their more traditional competitors, who are also expanding their options.
Walmart aims to expand next-day delivery to reach roughly 75% of American consumers by the end of 2019, including 40 of the top 50 major metros. Initially the service is beginning in the South Western US, through Southern California, Arizona and Las Vegas.