The new business line is said to further the retailer’s strategy to create alternative revenue streams and profit pools
Walmart creates Walmart GoLocal to offer delivery as a service to businesses of all sizes in the US. (Credit: Walmart Inc.)
Walmart has formed a new business unit called Walmart GoLocal for offering delivery-as-a-service to help businesses of all sizes to bring their products closer to the doorsteps of customers.
The US retail giant claimed that Walmart GoLocal is well-positioned to be a leading white-label delivery service provider. The new business line also advances the strategy of the retailer to create alternative revenue streams as well as profit pools.
Walmart US president and CEO John Furner said: “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.
“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.”
Walmart GoLocal is said to have been built on Walmart’s ability to execute delivery capabilities at scale with efficiency. The retailer said that it has reached almost 70% of the US population using its existing delivery network, which includes autonomous vehicles, drones, and market fulfilment centres.
According to Walmart, its new white-label delivery-as-a-service offering will help businesses to expand using its delivery capabilities and pan-US coverage at competitive pricing. Walmart GoLocal will also quickly expand to provide additional innovative offerings, said the retailer.
Walmart further stated that the new delivery-as-a-service business is said to have already secured various contractual deals with national and enterprise retail clients.
Walmart US last mile senior vice president Tom Ward said: “We’ve worked hard to develop a reliable last mile delivery program for our customers.
“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 customisable 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’s launch follows a recent announcement from Walmart of providing its technologies and capabilities to enable other businesses in navigating their own digital transformation.