Walmart is living up to its name as Amazon’s biggest competitor by teaming up with Instacart to rival Amazon in the same-day grocery delivery department.
Walmart and Instacart are now partners, rivaling Amazon’s offline network of same-day grocery delivery. The partnership will allow Instacart to fulfill quick deliveries in the Walmart stores in California and one in Oklahoma.
Instacart is already offering groceries from Sam’s Club, which is owned by Walmart, to its customers who are frequently using the app for the sake of social distancing. However, this is the first time that app consumers can purchase groceries from the largest grocery in the United States, Walmart as a whole. That means home décor and electronics are included. According to Yahoo Finance, the feature is still in the pilot stage.
“The new partnership brings thousands of items — from groceries, alcohol and pantry staples to home decor and improvement, personal care, electronics and more — at everyday low prices from Walmart stores to customers’ doors in as fast as an hour,” said an Instacart spokesperson via CNBC.
Walmart has already successfully deployed its buy-and-collect platform in some of its locations – highlighting its success when it comes to grocery pick-ups – for which the recent team-up comes off as an attempt to compete with Amazon head-to-head.
For Instacart, it has been working with other major grocery chains like Aldi, Albertsons, Kroger, Costco, and Target already. It is a known fact that Instacart has a lot of partners that Walmart can now gain access to.
On the other hand, Amazon has been slowly trying to establish its grocery delivery network for which Amazon links its Whole Foods stores with its Prime shipping benefits. In June last year, Amazon launched this unlimited grocery delivery service that people can subscribe to for $98 a year and so far, the company was able to make the best of it.
Amazon is still leading in e-commerce. In the 2020 US retail e-commerce market data, Amazon leads with 38.7% of market share while Walmart stands at 5.3 percent.