- Walmart is partnering with Deliv to scale its same-day grocery delivery business.
- Online grocery services are helping Walmart draw in more urban, higher-income customers.
Walmart is expanding its grocery delivery business through a new partnership with the logistics company Deliv.
Deliv is now powering same-day grocery deliveries in the San Jose, California area, Walmart told Business Insider.
The retailer is currently offering same-day grocery delivery in four other markets through Uber.
The new partnership with Deliv, which operates in 35 markets, is a sign that Walmart is planning to continue rapidly scaling its grocery delivery services across the US, specifically through third-party logistics companies.
Other cities where Deliv operates include Atlanta, Austin, Boston, Chicago, Miami, Denver, Las Vegas, Columbus, and Washington, DC.
The Deliv partnership expands on Walmart’s recent collaboration with the Menlo Park, California-based company and August Home to enter customers’ houses when they aren’t home and deliver groceries straight into their refrigerators.
Investing in grocery delivery is a smart strategy for Walmart.
Food delivered the strongest quarterly comparable sales in almost six years in Walmart’s most recent quarter, the company said Thursday.
And online grocery services are helping Walmart draw in more urban, higher-income customers.
“Online grocery is probably one of the things that is helping us most in the stores,” Walmart US CEO Greg Foran said on a call with reporters Thursday. “That’s probably giving us customers who previously wouldn’t have shopped with us.”