
Walmart's last mile delivery has become a game-changer for customers, offering same-day delivery on millions of items. This convenience has been made possible through partnerships with companies like Uber and Lyft.
By leveraging these partnerships, Walmart can reach more customers and provide faster delivery times. In fact, Walmart's last mile delivery has seen a significant increase in adoption, with millions of customers using the service each year.
As a result, customers are experiencing a major improvement in their shopping experience, with the ability to get their purchases delivered quickly and conveniently. This is especially important for customers who may not have the time or ability to visit a physical store.
Related reading: Last Mile (transportation)
Walmart's Delivery Initiatives
Walmart's delivery initiatives are making waves in the retail industry. Walmart's last-mile delivery service, Walmart GoLocal, has topped 1 million deliveries in its first year, making it a significant player in the delivery market.
The service allows merchants to use Walmart's delivery platform for a variety of deliveries, including scheduled and unscheduled deliveries, and even same-day deliveries. GoLocal is powered by Walmart's own delivery platform, which promises delivery in two hours or less.
Walmart is also testing last-mile delivery by employee, using a mobile app to suggest orders that employees can deliver on their commutes to and from work. This initiative allows employees to earn extra income on their existing drive home.
Associates are fully in control of their experience, choosing how many packages they can deliver, the size and weight limits of those packages, and which days they're able to make deliveries after work. Packages are allocated based on minimizing the collective distance an employee needs to travel off of their commute to make a delivery.
Walmart's goal is to grow GoLocal into a larger business as more merchants shift to e-commerce. The company aims to contribute to its operating margins over time and help small and medium-sized businesses grow.
Walmart's Ecommerce Strategy
Walmart's GoLocal is a prime example of how retail giants are leveraging their resources to commercialize last-mile delivery.
Retailers like Walmart and Amazon are using their established fulfillment and warehousing infrastructure to provide delivery-as-a-service options to sellers.
Managing your own warehousing and fulfillment workflows may be more cost-effective and efficient, but last-mile delivery is an area that most ecommerce sellers have little choice but to offload to a partner.
Large retailers like Home Depot also need help with last-mile delivery, making it a common challenge for many businesses.
Shipping specialists like UPS, FedEx, DHL, and USPS have long been the go-tos for many brands' last-mile delivery needs due to their extensive resources.
Walmart's GoLocal offers a white-label promise, which is particularly appealing to sellers looking for a reliable and flexible last-mile delivery solution.
The key to making the right choice when it comes to a last-mile delivery partner is to assess their speed, reliability, geographic reach, and additional features and policies.
Frequently Asked Questions
What is the biggest issue with last mile delivery?
The biggest issue with last mile delivery is its high cost, accounting for up to 53% of total shipping costs. This makes it a major challenge for companies to provide fast and free deliveries to customers.
What is the last mile delivery process?
The last mile delivery process refers to the final step of delivering a product from a distribution center to the customer's doorstep. It's the crucial link between the warehouse and the customer, ensuring timely and efficient delivery.
Who is Walmart partnering with for delivery?
Walmart is partnering with IBM to improve last-mile delivery. The collaboration combines Walmart's GoLocal delivery service with IBM's Sterling order management platform.
Sources
- https://techcrunch.com/2022/08/16/walmarts-last-mile-delivery-service-walmart-golocal-tops-1m-deliveries-in-year-one/
- https://sellercloud.com/blog/the-white-label-promise-of-walmarts-last-mile-delivery-service-matters/
- https://sourcingjournal.com/topics/retail/walmart-parcel-stations-40-stores-last-mile-delivery-parcel-shipping-fulfillment-469639/
- https://www.sdcexec.com/warehousing/news/12340321/walmart-walmart-begins-testing-lastmile-delivery-by-employee
- https://techcrunch.com/2021/08/24/walmart-announces-golocal-a-last-mile-delivery-service-for-other-retailers/
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