Walmart to launch free next-day delivery in Phoenix, Las Vegas

A Walmart in New Jersey is seen in this file

A Walmart in New Jersey is seen in this file

"Contrary to what you might think, it will cost us less - not more - to deliver orders the next day", Lore wrote. As many as 220,000 items, which are the most frequently purchased, ranging from laundry detergent to toys and electronics will qualify for one-day shipping. It is available on eligible orders of $35 or more, with the specific assortment varying by customer location. The discounter plans to roll out the service to 75% of the US population by year-end. The company said it plans to roll out the service gradually over the coming months, with a plan to reach about 75 percent of the USA population this year. That's exactly what Walmart just did by offering its own version of one-day shipping, albeit on a much smaller scale. Next day shipping also has a minimum purchase order of $35.

Such orders are consolidated in boxes and travel short distances by ground, making them less costly than delivering items from multiple locations, according to Lore. The move follows on the heels of Amazon's recent rollout of 1-day delivery. Soon after Amazon announced plans to invest $800 million to ensure Prime members got their orders the following day, the retailer issued a tweet saying "One-day free shipping...without a membership fee". Walmart says that will provide coverage for Grocery Pickup to 80% of the USA population and same-day delivery to 50% of the U.S. population by year's end.

Walmart said it is able to offer its NextDay delivery service because it has "built a network of fulfillment assets that are strategically located across the U.S." that allows it to place "the right products in the right fulfillment centers based on where customers are located and what they are ordering".

Walmart is ramping up its delivery service with a new fast convenient option.

Walmart has been working to increase shipping efficiency for some time, including repurposing 12 Sam's Club locations that closed past year into local e-commerce fulfillment centers. The free offer to consumers keeps Walmart "in the game" against online rival Amazon.com, Inc.

Walmart has succeeded in narrowing the gap to win new sales and in the battle of one-day shipping Walmart holds one key advantage, he said.

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