Walmart is making big changes that customers should know about

For all the ills people like to heap on social media and internet culture, one of the greatest advancements of our age has been due to our growing online presence.

Thanks to the rapid spread of information and services, most of the world’s citizens now have access to more than an encyclopedia’s worth of data in their pockets.

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We can connect with loved ones around the world, search almost any topic we’re interested in, and access a wider variety of products faster than ever before.

Many of us take this simple fact for granted. We increasingly expect retailers to expand their delivery capabilities; when Amazon (AMZN) introduced free two-day shipping for Prime members, which became the new standard. No one wanted to wait a week or more for goods to be shipped.

Now, many of the big retail giants offer next-day or same-day delivery and fulfillment, meaning that if you’ve placed an order for one of the thousands of SKUs they keep in stock in a warehouse in your proximity, chances are that item will be displayed. to your door within hours.

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Walmart (WMT) aim (TGT) and Amazon all offer delivery within hours of placing an order, and the competition has only been increasing since a year.

Walmart’s digital redesign plan. Duke.

Walmart

Walmart delivery is a key driver of growth

Fast shipping is as much a money grab as it is a money maker for many retailers.

The quick turnaround is nothing short of a miraculous logistical balancing act. When millions of orders for different items are in fluctuating stages of the supply chain process, getting the right item to your door more than 90% of the time is nothing short of amazing.

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And since Amazon largely leads the charge when it comes to fast and accurate delivery, Walmart has been trying to make strides in the space to simply keep up.

With a store location within 10 miles of 90% of the United States population, this process was simplified due to proximity. Many of Walmart’s stores now double as warehouses; the retailer uses its massive footprint to double as last-mile distribution stations.

Walmart is working on other delivery options

But Walmart has focused on other delivery methods beyond the road.

Earlier this year, Walmart announced it would expand its drone delivery capabilities, bringing the service to nearly two million households in the Dallas-Fort Worth area. This number represented about three-quarters of the entire metropolitan area.

At the time, the expansion brought its drone delivery service to seven states: Arizona, Arkansas, Florida, North Carolina, Texas, Utah and Virginia.

But now, just a year later, Walmart is pulling back some of its drone deliveries in certain cities in an effort to refocus and hone its ambitions in the Texas area.

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DroneUp, a Walmart partner that helps fulfill aerial packages, said it will close 18 Walmart fulfillment centers in Phoenix, Salt Lake City and Tampa. It will lay off 17 percent of its project-related staff and reduce Walmart store fulfillment capabilities at 15 Walmart locations:

• Dallas: 11
• Bentonville, Ark.: 3
• Virginia Beach: 1

“We’re really focused on automation and a drone with a larger payload capacity and a longer range. Now it’s time to focus on that scalable model,” said DroneUp CEO Tom Walker, adding that the demand simply wasn’t enough to justify the expense and effort. asked in other cities.

Walmart, for its part, is still working with other drone partners, including Wing (which is backed by Google) and Zipline.

“Our drone delivery program is still a pilot, and by focusing our efforts in Dallas-Fort Worth, we can learn more about the potential to expand this innovative delivery option for Walmart customers,” Walmart said in a statement.

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