The battle for retail supremacy over the American market continues.
Walmart is currently picking up the pace with their next-day shipping offer as the retail giant turns up the heat on Amazon. Walmart has already provided an outline of their plan to offer one-day shipping to all customers in the US.
Walmart first suggested that they would soon offer one-day shipping in a tweet they sent out just weeks after Amazon announced their own one-day free shipping. The tweet put out by Walmart was obviously taking a shot at Amazon, which is currently engaged in its own transformations. Now, online shoppers who spend at least $35 at Walmart are eligible for this expedited one-day delivery. This service will initially be available in Phoenix and Las Vegas before being expanded nationwide. Under the current situation, Walmart expects to be able to reach about 75% of the American population before 2020.
Amazon, for their part, is introducing one-day free shipping for all Amazon Prime members. The company has stated that it will also spend approximately $800 million during Q2 to make this become the new reality. This stands in contrast to Walmart’s take on the issue, as Walmart believes that this faster service will actually help them reduce costs. “Contrary to what you might think, it will cost us less — not more — to deliver orders the next day,” said Walmart eCommerce President and CEO Marc Lore. Furthermore, Walmart’s collection of delivery hubs is expected to make it so that deliveries are driven over shorter distance and with fewer but bigger boxes. Walmart’s new shipping plans also won’t require customers to pay any kind of membership fee.