Walmart is getting ready to unveil a new subscription program. The program, Walmart+ will offer free same-day grocery delivery services, similar to their Delivery Unlimited plan.
In addition, Walmart+ members will get free same-day delivery on general merchandise, early access to product deals, discounts on fuel, and reserved delivery and pickup time slots.
According to an article on Recode, the cost of the new service will be $98 per year. That’s the same price Walmart currently charges for Delivery Unlimited.
The new service is the latest move by Walmart to protect its market share from Amazon. Amazon has approximately 150 million Amazon Prime subscribers, but Walmart has one key advantage.
The retailer has more than 4,500 brick and mortar stores across the U.S. They also claim that they have locations within 10 miles of 90% of the population.
Aside from their huge store footprint, Walmart has the infrastructure to support same-day delivery, which Amazon is still unable to offer on a large scale. Although Amazon has a larger warehouse capacity and a huge third-party marketplace, those that want same-day services can turn to Walmart+.
Analysts of the new program think Walmart’s new subscription plan can compete with Amazon in a big way. Amazon Prime guarantees one-day delivery on millions of items, but shoppers have to pay extra for same-day delivery through Prime Now.
Walmart also partnered with Shopify and ThredUp to increase its third-party offerings and products. The new partnership with ThredUp allows shoppers to buy used or like-new name brand apparel through Walmart.com.
Walmart has yet to make an official announcement of the new program; however, it is rumored Walmart+ will be launched by the end of July. Currently, customers can still sign up for the Delivery Unlimited plan.
We suspect that current Delivery Unlimited subscriptions will be converted to Walmart+ subscriptions. To get same-day grocery delivery now, you can sign up for Delivery Unlimited, which could get you early access to the new program.
Walmart’s physical store reach gives them a clear advantage, especially when it comes to groceries. As an avid user of online grocery delivery services and Amazon Prime, I’m thrilled about the new program.
If Walmart manages to keep up with same-day delivery, this could truly be the biggest retail game-changer we’ve seen in the last decade. Although Amazon clearly got a head start in the e-commerce and subscription game, Walmart is leaps and bounds ahead of Amazon with their physical locations.
They’ve also been making huge strategic moves over the past year to catch up: Think new partnerships, parking lots converted to drive-in theaters for movies, and more.