Walmart launches delivery service in U.S.

by Inside Logistics Online Staff

Walmart has announced the creation of a new line of business – Walmart GoLocal – that will offer last-mile delivery services in the United States.

The service will be built on the company’s own delivery services, which it has built over the past three years. In that time the retailer launched and scaled delivery and express delivery for its customers on 160,000-plus items from more than 3,000 stores. It reaches nearly 70 percent of the U.S. population using its existing delivery network, including drones, autonomous vehicles and market fulfillment centres.

Walmart says the new business is part of its strategy to diversify revenue streams.

How the GoLocal system works. (Walmart GoLocal screenshot)

The service integrates with customers’ online ordering systems, so that Walmart’s system is notified when an order is placed and the appropriate driver and vehicle can be dispatched.

“In an era where customers have come to expect speed and reliability, it’s more important than ever for businesses to work with a service provider that understands a merchant’s needs,” said John Furner, president and CEO, Walmart U.S.

“Walmart has spent years building and scaling commerce capabilities that support our network of more than 4,700 stores and we look forward to helping other businesses have access to the same reliable, quality and low-cost services.”

Serving local businesses

Walmart said in a press release that the new white-label delivery service will be able to serve businesses with size and complex requirements, as well as varying timelines. The company plans to expand with additional offerings.

“We’ve worked hard to develop a reliable last-mile delivery program for our customers,” said Tom Ward, senior vice-president, last mile, Walmart U.S.

“Now, we’re pleased to be able to use these capabilities to serve another set of customers – local merchants. Be it delivering goods from a local bakery to auto supplies from a national retailer, we’ve designed Walmart GoLocal to be customizable for merchants of all sizes and categories so they can focus on doing what they do best, leaving delivery speed and efficiency to us.”

Walmart GoLocal has already signed contracts with national and enterprise retail clients.

Its launch comes weeks after the retailer announced plans to begin offering technologies and capabilities to help other businesses navigate their own digital transformation.