Wednesday, 20 June, 2018

Walmart to offer home grocery delivery to 100 United States cities

Increasing sales and foot traffic hasn’t been a problem for Increasing sales and foot traffic hasn’t been a problem for
Velma Reese | 14 March, 2018, 19:20

Walmart also offers a pickup service to customers who order online.

Walmart charges $9.95 per order for delivery, and has a $30 minimum spend requirement. Walmart has focused on improving the freshness and quality of its assortment the past several years, while aggressively lowering prices on items and rolling out convenience-based services like its online grocery pickup for customers.

The service is now available in six markets, including Phoenix, Dallas, Orlando, Tampa, Denver, and San Jose.

Walmart has been investing in online grocery for years, starting with limited tests of curbside pickup that later expanded across the U.S. 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. The online retailer has already started offering free, two-hour deliveries of Whole Foods groceries in a handful of markets to its Prime customers.

"We're going to gain customers who might not have access to a brick-and-mortar store", he said. Then, a driver will deliver them to customers.

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The announcement comes just weeks after Amazon added two cities to its new Amazon Prime grocery delivery service, bringing the total number up to six.

Each will go through a three week training process, in part to address one of the lingering concerns that stops many from ordering groceries online. There has been plenty of activity from retailers like Walmart and others in the grocery delivery space to support it.

Online grocery shopping is forecast to grow to $100 million, or $850 per household, by 2022, according to a study by the Food Marketing Institute and Nielsen. Cowen researchers saying a year ago that food and beverage sales online account for just 4 percent of total sales in the category, and online accounted for only 9 percent of sales for consumables like toothpaste and household goods. The retailer employs more than 18,000 personal shoppers that power this program with thousands more being added this year. Both companies have also introduced services that allow delivery people to enter homes and leave packages inside.

Delivery is becoming less of an option, and more of market demand.

Reviews of the Walmart Grocery app - which customers have used mostly for pick up orders so far, rather than delivery - have been mixed.

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