Although it operates no stores in the five boroughs of New York City, Walmart plans to offer same-day home delivery of groceries in the nation’s largest market. The world’s largest merchant also plans to add about 100 other metropolitan areas to its list of grocery delivery locations, which would cover 40 percent of the U.S., by the end of the year.
In a related story in the Wall Street Journal, sources also noted that the big merchant is specifically targeting some cities such as San Francisco where the company does not currently have a large presence. The Bentonville, AR-based retailer is currently testing online-driven grocery deliveries in six markets – San Jose, CA; Phoenix, AZ; Tampa, FL; Orlando, FL; Dallas, TX; and Denver, CO.
In the New York City model, Walmart will be utilizing the services of its jet.com division to oversee this initiative. Online orders will be assembled at an existing Walmart store (the company has 66 stores in the metro New York market) and then turned over to a transportation service such as Uber for home delivery. Walmart may also use Parcel, a 24-hour delivery company it acquired about six months ago. Product prices will be the same as in the stores and the delivery fee will be $9.95 with a $30 minimum purchase.
Wal-Mart said it has already begun a three-week training program for store pickers and will use approximately 800 stores to fulfill its orders nationally.
“We’re saving customers time by leveraging new technology, and connecting all the parts of our business into a single seamless shopping experience: great stores, easy pickup, fast delivery, and apps and websites that are simple to use,” said Greg Foran, president and CEO, Walmart U.S. “We’re serving our customers in ways that no one else can. Using our size and scale, we’re bringing the best of Walmart to customers across the country.”
Additionally, Walmart said that it will expand its click & collect service, now available in 1,200 units, by another 1,000 stores which will be added by the end of 2018.