Walmart’s answer to Amazon Prime on the grocery side, Delivery Unlimited, is expanding nationwide, the company said, reaching 1,400 U.S. stores now and 1,600 by the end of the year. The program had been piloted in Houston, Miami, Salt Lake City and Tampa, and will now be in all 200 markets where grocery delivery is available.
Target has now expanded its Drive Up curbside pickup service to about 1,750 stores in all 50 states, a first in retail, two years after its launch as an insourced offering when a pilot failed with an outside provider. Just weeks ago,Target announced an expansion of the service to 1,500 stores in time for the busy back-to-school season.
Target reported strong Q2 performance, with 34% growth in ecommerce sales, nearly 75% of which was attributable to its same-day order fulfillment strategy including buy online pickup in store, curbside pickup and local delivery. The retailer beat expectations on earnings, comp growth and revenue, and raised 2019 guidance.
Target is expanding its free curbside pickup program, Drive Up, ahead of the busy back-to-school season, making it available at 1,550 stores and adding coverage in the Northeast, the company reported in a blog post. Several markets are being added in Massachusetts, Maine, New Hampshire and Rhode Island, with expansion in others.
Prime Day saw 175 million items purchased by Prime members over the two days, according to Amazon, eclipsing its 2018 Black Friday and Cyber Monday sales combined, while analysts pegged total GMV at $6 billion to $6.2 billion. See what other interesting statistics we found to paint a picture of the concocted “Christmas in July.”
Prime Day, running for 48 hours on July 15-16, is expected to generate $5.8 billion in global sales, with an estimated 250 retailers drafting in its wake as more of them realize the huge potential. Also, Prime membership has grown to 105 million in the U.S., and electronics, home goods and apparel are the hot categories.
Amidst shifting consumer demand and a move toward true omnichannel, retailers’ ability to leverage their physical presence is vitally important. Options such as deliver from store, buy online pickup in store (BOPIS), buy online return in store (BORIS) and delivery drop-offs in lockers are a major advantage over online retailers.
After weeks of concentrating its fire on Amazon, Walmart is now dealing with a flank action from Target as the latter has fully integrated its Shipt same-day delivery service with Target.com. Walmart, for its part, just launched a $98 per year subscription program for same-day grocery delivery, a service that normally costs $9.95 per order.
Amazon just turned up the heat in the three-way battle for dominance atop ecommerce sellers, announcing more than 10 million items eligible for its new one-day delivery standard via Prime. This compares with 220,000 items available for free next-day delivery from Walmart, announced in mid-May, and 35,000 from Target ReStock.
Is emulating Amazon enough to succeed? No, because very few companies have the resources. For most, winning the war means quietly striking partnerships and collaboration initiatives with competitors that were once unthinkable. At the center of these initiatives are new collaboration brokers, enabling product innovation at scale.