Walmart is significantly expanding its drone delivery service, aiming to bring the convenience of rapid aerial delivery to more customers across the United States. The retail giant announced plans to launch drone delivery services at 100 stores in Atlanta, Charlotte, Houston, Orlando, and Tampa within the next year. This expansion will make drone deliveries available in a total of five states: Arkansas, Florida, Georgia, North Carolina, and Texas.

How it effectively works

Customers will use the Wing app to request drone deliveries. Wing, the drone operator partnering with walmart, will manage the flights within a six-mile radius of participating stores. This collaboration aims to provide a swift and efficient delivery option for a wide range of products.

The Competitive Edge

Drone deliveries represent a key element of Walmart’s strategy to compete with rivals like Amazon by focusing on convenience and competitive pricing. Walmart leverages its extensive network of over 4,600 stores nationwide to expedite online order fulfillment. The company already offers services like Express Delivery, promising delivery in as little as 30 minutes, and InHome, a subscription service that delivers groceries directly into customers’ refrigerators. Walmart also introduced same-day prescription deliveries last fall, expanding the service across the country.

Customer Demand fuels Expansion

According to Greg Cathey, senior vice president of Walmart U.S. transformation and innovation, customer feedback has been a driving force behind the expansion. The number one piece of feedback that we get from our customers are, ‘When are you expanding?’ he said.Cathey noted that customers often use the drone service for urgent items such as hamburger buns,eggs,or over-the-counter medications.

Delivery Details

Walmart reports that drone deliveries typically take 30 minutes or less. Popular items include eggs,ice cream,pet food,and fresh fruit like bananas and lemons.

Product Assortment

Walmart stores carry over 150,000 items,and according to Cathey,more than 50% of thes can be delivered by drone,offering customers a wide selection of products for rapid delivery.

Past Challenges

Walmart’s journey into drone delivery has not been without its challenges. Three years ago, the company announced plans to expand drone deliveries with DroneUp, aiming to reach 4 million households across six states from 37 stores. Though, this rollout did not meet its initial expectations.

Current Progress

Since 2021, Walmart has completed more than 150,000 drone deliveries.While the company did not provide specific figures, this milestone demonstrates the growing adoption of drone delivery services.

Amazon’s Drone Ambitions

Amazon,a key competitor,also faces challenges in scaling its drone delivery service,Prime Air. The e-commerce giant initially aimed to deliver 500 million packages per year by the end of the decade. However, after testing in College Station, Texas, and Tolleson, Arizona, Amazon temporarily suspended its service due to an issue with the drone’s altitude sensor.

Operational Details

Walmart has tested drone deliveries in Northwest Arkansas and the Dallas-Fort Worth area.Several drone operators, including Zipline, Flytrex, DroneUp, and Wing, have supported Walmart’s deliveries.Currently, Walmart operates 21 live sites in Arkansas and Texas, managed by Wing and Zipline. The contract with DroneUp concluded last year.

Future Vision

Kieran shanahan, chief operating officer of Walmart U.S.,emphasized the company’s commitment to providing flexibility and convenience through drone deliveries,alongside customary van deliveries. We see it as part of a broader ecosystem of things. And who knows what five years, 10 years time will bring as new technologies and capabilities unlock? he stated.

Pricing and Availability

Deliveries through the Wing app are free. Walmart is also testing a drone delivery option within its app in the Dallas area, where deliveries cost $19.99 or are free for Walmart+ members.