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Walmart Acquires Logistic Start-Up: Looks to Launch Same-Day Delivery in NYC

Walmart Acquires Logistic Start-Up: Looks to Launch Same-Day Delivery in NYC

BENTONVILLE, AR - As one e-commerce subsidiary grows its reach to test private label groceries, Walmart has bought up another in an effort to expand its delivery prowess. The retailer announced today that it has acquired technology-based, same-day, and last-mile delivery company Parcel.

Nathan Faust, SVP U.S. e-Commerce Supply Chain, Walmart“Parcel has partnerships with several meal kit, grocery, and e-commerce companies, and has delivered more than 1 million meals in the past two years,” commented company SVP of U.S. e-Commerce Supply Chain Nate Faust. “So our immediate plan is for Parcel to continue serving its existing clients and growing its customer base. There’s a lot of upside, and I’m excited about the potential there.”

Faust added that Walmart plans to leverage Parcel for last mile delivery to customers in New York City–including same-day delivery–for both general merchandise as well as fresh and frozen groceries from Walmart and Jet.

Parcel Car

Same-day delivery is a key offering in online grocery shopping, especially for perishables, with an increasing circle. Big players include Amazon and Instacart, and it is easy to call The Big Apple a hub for delivery.

“Delivery is increasingly one of the most important elements for today’s online shoppers, as demands for speed, flexibility, and reliability continue to grow. That’s why my team spends a lot of time thinking about ways we can make deliveries faster and more convenient for customers,” Faust said. “Parcel is a proven leader in e-commerce package delivery, including taking fresh, frozen, and perishable food the last mile–that is, the last step in the shipping process as products make their way from a fulfillment center to your door.”


But, Faust said he sees even more upside for the retailer’s own same-day deliveries. In addition to this latest step in growth, Jet.com has been testing free same-day delivery of certain orders to customers in New York City.

The deal closed on September 29, 2017, and while financial details weren’t disclosed, Walmart did say it was a smaller buy than previous acquisitions it’s made this year.

You can see Faust’s full Q&A about Parcel on the retailer’s blog. As the cyber and delivery aspects of produce and grocery continue to grow, AndNowUKnow will bring you the latest.

Walmart Parcel