While Amazon is testing drone delivery, ocean freight, (and teleportation devices, ok we made that up), WalMart has decided to take a different approach to fulfilling its online orders… employees will deliver packages on their way home from work!
As AP reports, in its latest effort to compete with online giant Amazon, Walmart is testing a delivery service using its own store employees, who will deliver packages ordered online while driving home from their regular work shifts.
The “associate delivery” program would use Walmart’s 4,700 U.S. stores and roughly 1.2 million employees to speed delivery and cut costs.
The world’s largest retailer says workers can choose to participate and would be paid. The service is being tested at two stores in New Jersey and one in Arkansas.
Walmart has stores within 10 miles of 90 percent of the U.S. population, the company says.
“Now imagine all the routes our associates drive to and from work and the houses they pass along the way,” Marc Lore, CEO of Walmart’s U.S. online operations, wrote on the company website.
Ravi Jariwala, a Walmart spokesman, said all those employees driving home represent a “very dense web” of potential delivery locations for the company.
Employees who want to participate will be able to use an app to specify how many packages they are willing to deliver, Jariwala said, as well as the weight and size limits on the packages. Jariwala would not provide details about how workers would be paid, but said the company would comply with all federal and state minimum wage and overtime laws.
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The move is the latest step in Walmart’s campaign to counter Amazon’s online dominance. Shoppers on Walmart.com can already choose to pick up items at a nearby store for a lower price. Walmart has also revamped its shipping program and offers free, two-day shipping for online orders of its most popular items with a minimum purchase of $35.
In its tests so far, Walmart says “many” packages are arriving at customers’ homes just a day after an order has been placed.
Participating employees will have to undergo background checks and will need clean driving records, Jariwala said.
