Walmart is expanding its drone delivery service to five new cities as part of its effort to boost online sales and provide faster service to customers. The world’s largest retailer will roll out drone deliveries at 100 stores in Charlotte, North Carolina; Tampa, Florida; Atlanta; Houston; and Orlando. This move builds on its existing drone operations in northwest Arkansas and the Dallas-Fort Worth area.
Walmart claims to be the first retailer to implement drone delivery on such a large scale across five states. The company is focusing on quick deliveries because shoppers are increasingly looking for convenience and are willing to pay for it. Items that are frequently ordered for drone delivery include fresh fruit, eggs, pet food, and even ice cream.
David Guggina, Walmart’s chief e-commerce officer, highlighted the benefits of faster delivery times. He mentioned that knowing an item will arrive in about 45 minutes allows customers to better plan their day.
Walmart is optimistic about its online business, expecting it to become profitable this year after significant investments aimed at competing with Amazon and other online retailers. E-commerce can be costly due to high freight, labor, and fuel expenses. To manage these costs, Walmart is automating its warehouses and consolidating orders.
In addition to drone deliveries, Walmart is also expanding its services to include pharmacy deliveries and late-night options. This expansion of drone services is part of a deeper partnership with Alphabet Inc.’s Wing, which already has federal approval to operate drones beyond visual line of sight for up to six miles. Walmart is also collaborating with Zipline, another drone delivery service, in Texas and Arkansas.
As Walmart continues to innovate in the delivery space, it aims to meet the growing demand for speedy and convenient shopping experiences.