Walmart announced the launch of a new line of business, GoLocal, to offer its home delivery services platform to other retailers.
GoLocal was created based on a retailer’s ability to execute home delivery tasks at scale with efficiency. In just three years, Walmart launched and expanded delivery and Express delivery service for its customers on more than 160,000 items from more than 3,000 stores, reaching nearly 70% of the U.S. population and growing with the use of its existing delivery network, including drones, autonomous vehicles, and marketplace fulfillment centers.
“In an era where customers have come to expect speed and reliability, it’s more important than ever for businesses to work with a service provider that understands a merchant’s needs,” said John Furner, president and CEO, Walmart U.S. “Walmart has spent years building and scaling commerce capabilities that support our network of more than 4,700 stores, and we look forward to helping other businesses have access to the same reliable, quality and low-cost services.”
The retailer said the white-label delivery offering, meaning GoLocal’s service will not be in Walmart vehicles, allows businesses to grow by utilizing the company’s home delivery capabilities and nationwide coverage.
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The service will be offered at competitive prices and includes delivery on a range of assortments, including those with size and complexity requirements, and the flexibility to meet different deadlines, either within two hours or a two-day delivery option. The business will also rapidly expand to offer other innovative offerings.
Deliveries will be handled by a combination of associates, freelancers, and, on occasion, other delivery companies.
During a phone call with the media, Tom Ward, senior vice president, last mile, Walmart U.S., said the retailer would negotiate service rates on a case-by-case basis.
“We’ve worked hard to develop a reliable last-mile delivery program for our customers,” said Ward. “Now, we’re pleased to be able to use these capabilities to serve another set of customers, local merchants. Be it delivering goods from a local bakery to auto supplies from a national retailer; we’ve designed Walmart GoLocal to be customizable for merchants of all sizes and categories so they can focus on doing what they do best, leaving delivery speed and efficiency to us.”
Walmart GoLocal has already established several contractual agreements with national and enterprise retail clients and is currently accepting select new merchant partners at www.walmart.com/GoLocal.
The company said this business is an integral part of its overall strategy, including diversifying its revenue and profit streams with initiatives such as Walmart Connect and Walmart Fulfillment Services. Its launch comes weeks after the retailer announced plans to offer technologies and capabilities to help other companies navigate their digital transformation.