Walmart team up with DoorDash to compete with Amazon

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The latest development in the war to deliver online groceries sees Walmart team up with DoorDash to power Walmart’s Online Grocery program in the Atlanta area. The company will expand their reach with Walmart across the US in the near future with the aim to reach more than 40% of US households with delivery by the end of the year.

“We’re connecting all the parts of our business to create a shopping experience like no one else can. With the expansion of our Online Grocery Delivery program, customers can have great items at every day low prices delivered to their door with the click of a button. With the help of DoorDash, we’re delivering the best of Walmart to customers in Atlanta and beyond.”
Greg Foran, President and CEO, Walmart US

When a consumer places an order online and selects a delivery window, the items will be hand-selected by Walmart’s personal shoppers and then a DoorDash Dasher will deliver the order during the chosen delivery window. Walmart’s team of 18,000 personal shoppers all complete a three-week training program learning how to select the freshest produce and the best cuts of meat for Online Grocery customers.

Walmart’s Online Grocery Delivery carries a simple $9.95 fee and a $30 minimum order with no subscription required.

Much as Amazon are touted as a major competitor to Walmart (and they are), that is only online. Amazon are a tiny retailer (about $178 billion revenue) when you consider Walmart’s offline sales (in the region of $480 billion), but still Walmart need to innovate to compete. That’s especially true as Amazon, although massive, are still relatively nimble and unfettered by multiple stores in every US city and town. Amazon have the ability to make inroads into Walmart’s online sales and that’s why convenient home deliveries and the new partnership with DoorDash are key.

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