Walmart Inc WMT is opening its in-house delivery platform to others merchants for their last-mile deliveries, tapping a segment dominated by FedEx Corp FDX and United Parcel Service Inc UPS.
What Happened: The Bentonville, Arkansas-based retailer's new service, Walmart GoLocal, will be open for businesses of all sizes to get their goods delivered to customers. Walmart will deploy its in-house delivery platform to allow independent contractors who are out delivering Walmart groceries and other merchandise to make additional deliveries as well.
Walmart GoLocal will join a host of other rivals, including the one from Target Corp TGT’s Shipt, which also handles last-mile deliveries.
See Also: Is 'A Day Of Reckoning' Coming For FedEx, UPS?
Why It Matters: FedEx and UPS usually have strong last-mile delivery networks but more players are mushrooming with the same delivery capabilities, including e-commerce giant Amazon.com Inc AMZN, which offers faster options.
Target’s Shipt does same-day deliveries from its stores and others. Others such as DoorDash Inc DASH and Uber Technologies Inc UBER employ gig workers to fulfill orders for different merchants.
Price Action: Walmart shares closed 0.72% lower at $150.45 on Monday.
Photo: Walmart Corporate via Wikimedia
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
