Walmart is starting next-day delivery to catch up with Amazon.
Walmart is expected to have higher costs since all items are not stocked in a fulfillment center closest to the customer. To reduce these inventory costs, the company will seek to stock items in regional fulfillment centers based on local market needs, and will impose a minimum dollar amount of $35 for orders.
The program rolled out to Phoenix and Las Vegas first, with Southern California next in the lineup.
This post is based on the CNN article, Walmart is rolling out next-day delivery. Look out, Amazon, by Nathaniel Meyersohn, May 14, 2019; and the YouTube videos, Walmart launches free next-day delivery by Fox Business, May 14, 2019; and How Walmart is taking on Amazon, by CNN Business, May 17, 2018. Image source: Shutterstock / sirtravelalot
1. What impact does next-day delivery speed have on smaller retailers?
Guidance: Students should recognize that customers are expecting next-day delivery as an order qualifier in the future. If delivery speed becomes the domain of the major retailers, what can a Continue reading