WalMart Says No To Free Delivery This Holiday Season
Wal-Mart Stores will not be offering customers a free delivery option and wants their items to be picked from the store.
According to sources, the online retailing giant WalMart Stores. has decided to change its strategies for this holiday festival season. It is believed that the company will not be offering any free ‘unlimited’ shipping to its customers. The company is looking to deliberately avoid using this option which majority of the customers looks for while shopping online and that too in the holiday season. It is said that the company wants its customers to place an order online and then self pick their items from a physical store.
Wal-Mart Stores stated, “Shoppers who spend less than $50 on Walmart.com will either have to pay for shipping or arrange to have their items sent for free to a physical store.” This is a big gamble move as it may certainly cost customers in such a busy period of the year. Regardless of owning and operating more than 4,000 brick and mortar stores in the United States, this move comes due to its fight with Amazon.com. Recently, Amazon has surpassed Wal-Mart to become the largest retailer in the world. And currently, no company can match the online marketplace of Amazon in the country.
The online retailer is also working on a service that will see its customers checking in any of the Wal-Mart stores whenever they plan to come. Hence, the check in not only will notify the staff about their presence but will accelerate the buying and billing process as well, all using their smartphones. It has started to begin the testing of this process at its warehouse stores.
Brian Yarbrough who is an analyst at Edward Jones & Co. stated that after all of this, removing a free delivery option might be a big risk. One of its competitors, Best Buy, has announced to offer its customers free delivery on all items regardless of the price.
Mr. Brian adds, “Without free shipping, you lose a lot of customers. Retailers have been finding that the time when most people abandon their order online is when it shows the shipping charges at the end. That’s when they are most likely to just say, ‘I’m out.’”
In recent times and with the technology advancing day in day out, online shoppers are more used to having their orders delivered directly at their desired place hence this might result in losing market share. Customers would not want to get out of their homes and drive to Wal-Mart just to pick their order on a holiday.