ibusinesslines.com March 18, 2018

Walmart expands home grocery delivery service

14 March 2018, 07:21 | Justin Tyler

Walmart Will Start Delivering Groceries To A Lot Of Americans — But It'll Cost $10

Retail Signs

Walmart is offering its customers a new perk: grocery delivery.

Walmart expands home grocery delivery service that could boost it in its ongoing battle with e-commerce giant Amazon.

Deliveries will be handled by Uber Technologies Inc. and other providers, and will carry a $9.95 service fee - with a $30 minimum purchase.

Right now, the service is available in six markets and will be in place in more than 100 metro markets, from the east coast to the west coast, by the end of the year.

Supported by a number of partners such as Uber, the grocery delivery expansion will allow the retailer to target 100 metropolitan areas as it expands delivery to about 800 stores by the end of 2018. Walmart says its staff pay special attention to picking produce and meat cuts so that customers needn't worry they're getting old, tired, or lackluster examples. Customers can pick up their groceries without having to get out of their vehicle.

"We will. reach as many households as we can", Ward said. Then, a driver will deliver them to customers.

Walmart Grocery Delivery includes fresh produce, meat, seafood and bakery items, along with pantry staples, consumables and seasonal general merchandise.

"Say they order by 1 p.m.", Ward said, "they could have their delivery the same day in as little as three or four hours". Earlier this month, it added prepped kits and ready-to-cook items to its online grocery selection, for example, in order to cater to home cooks who don't have time to shop and prep ingredients. Walmart said its online sales are still on track to rise 40 percent this year.

"The service, which has become a customer favorite and touted as a "Grocery Hero" for moms on the go and time-strapped families, is now available in 1,200 stores with 1,000 more to be added this year", Walmart added. Amazon also has spent over a decade trying to build up its AmazonFresh grocery delivery service, but so far seen limited success. In June, Publix announced it would offer same-day grocery delivery from all of its locations by 2020, many of which are already operating in Tampa Bay. There is no subscription required, as is the case for Amazon Fresh and a handful of other, more costly options on the market.

Walmart also will use Jet, the Hoboken, NJ-based web retailer it acquired in 2016, to offer a same-day grocery-delivery service in New York City to compete with Amazon's Prime Now same-day delivery service, according to the Wall Street Journal (paywall).

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