Walmart will test same-day delivery with purchase of Parcel

  • Walmart will test same-day delivery with purchase of Parcel

Walmart will test same-day delivery with purchase of Parcel

He said offering same-day delivery in a dense market like New York City also presents a unique opportunity for the retailer as its e-commerce business grows. Founded in 2013, Parcel is a so-called "last-mile" delivery platform that operates around the clock and delivers in as quickly as two-hour windows.

Walmart announced the purchase on its website, saying it paid less for Parcel than other acquisitions made this year, without giving more details on the terms. Sources familiar with the matter are saying the acquisition price was less than $10 million. The service allows customers to schedule delivery times for their packages, which solves the problem apartment dwellers face when they don't have a door person to let a delivery person into the building.

Wal-Mart plans to leverage Parcel for last-mile delivery of general merchandise and fresh and frozen groceries to customers in New York City, the top market for both Jet and Walmart.com.

Walmart is looking at launching a same-day delivery service, but it would be limited to New York City. From a warehouse in Brooklyn, Parcel receives packages destined for customers throughout New York City. It's why we've focused on creating more options to meet their needs, such as our free two-day shipping to home, our pickup discount and free online grocery pickup service. Last month, Walmart revealed plans for a pilot grocery-delivery program where drivers put customers' perishable food directly into their refrigerators.

Walmart has invested heavily in logistics and delivery as one of the primary fronts in its battle against Amazon.

Walmart will soon have approximately 100 "automated pickup towers" in stores across the US, where customers can quickly pick up orders they made online. While the effort began in Denver, it has since been rolled out nationwide.

Parcel now works with meal kit, grocery and e-commerce companies to provide last mile capabilities.