Walmart has brought in a new partner to help it expand its delivery of online grocery orders.
The discounter announced it is teaming up with on-demand delivery service Postmates to help expand Walmart online grocery deliveries to more than 40% of U.S. homes. The initiative will start in Charlotte, North Carolina, and expand in the coming months. It comes on the heels of a previous announcement by Walmart that it plans to expand its grocery delivery business across the U.S. in 2018, going from six metro areas to 100 during that time.
Under the agreement with Postmates, after orders have been picked by Walmart’s personal shoppers, a Postmates courier retrieves the order from a Walmart store and delivers it to the customer during their specified delivery window. (Groceries can be delivered same-day.) There is a $30 minimum order threshold, and a $9.95 fee for the delivery services — with no subscription fee. The first order will be free with a $50 minimum and a special code.
“Both Walmart and Postmates strive to make the lives of our customers easier,” said Dan Mosher, senior VP, merchant lead, Postmates. “With our growing fleet of 160,000 couriers, we are confident that we’ll be providing Walmart customers with the ultimate convenience.”
Postmates is not Walmart’s only delivery partner. Uber and Deliv have been helping Walmart test deliveries in select markets, including Dallas, Denver, Orlando, Phoenix, Tampa and San Jose.
In addition, Walmart offers a free service at 1,200 stores that allows customers to order online and pick up their groceries curbside. The service will be expanded to another 1,000 stores this year.