Walmart expanding grocery delivery


The service, available today in six markets, will grow to serve more than 100 metro areas across the country.

The service, which offers same-day delivery in as little as three hours, will be expanded from six metro areas to more than 100, ultimately reaching more than 40% of United States households by the end of the year. The service was being offered in Dallas, San Jose, Denver, Phoenix, Tampa and Orlando.

"We're going to try and accelerate this program as fast as we can", said Tom Ward, Walmart US' vice president of digital operations. "The concept of saving time is just as important as saving money".

Users will be able to select an hour-long window by which to receive their groceries.

The expanded service allows the Bentonville, Arkansas-based retailer to get its store shoppers to transact with the company online, where they spend twice as much. It can house online orders in big coolers in the back ahead of customers' arrival, and it can repurpose existing store staff to prep the online orders as they arrive.

"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.

To that end, Walmart partnered with Uber in 2016 when it kicked off a grocery delivery pilot program that also included Lyft and Deliv.

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"Weve built a really robust infrastructure in-house to hire personal shoppers into the business", Ward said. Walmart said more delivery companies will be announced later.

About 1,200 Walmart stores across the country have grocery pick-up with 1,000 more planned to be added this year.

Now, however, Walmart has devised a slick new work-around, according to today's Wall Street Journal: New Yorkers may balk at Walmart being physically inside the five boroughs (even in Staten Island), but it's betting they can't say no to same-day delivery of low-priced groceries. The chain says almost 90 percent of Americans are within 10 miles of a Walmart.

Walmart has been making efforts to update its food options as competitors like Amazon - which now owns organic grocer Whole Foods - threaten to lure away customers by offering them convenient delivery.

The retailer is launching the service, which offers same-day delivery in as little as three hours, across the USA this year, the company announced Wednesday.

Tampas Walmart delivery began as a soft launch about a year ago in five stores. Ward said the home-delivery service has brought in new customers in the six cities where it's now offered, which include Dallas and San Jose, California.

"On average, the feedback were getting from customers is really positive", he said.