Briefing

Walmart launching one-day shipping in some U.S. cities

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The retailer will deliver orders worth more than US$35 of popular items—like laundry detergent, toys and electronics by the next day for free. The first markets are Phoenix, Las Vegas and Southern California. Walmart plans to expand to the service to three-quarters of the U.S. population by the end of the year. (Reuters)

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Talking point: Walmart’s move is a swift response to Amazon, which announced one-day shopping for members of its Prime loyalty service in April. Walmart has a cost advantage over its online rival, since its network of stores can act as fulfillment centres for delivery orders; Amazon is spending US$800 million to cut Prime shopping times down from two days. Walmart hasn’t announced any plans for an international rollout of one-day delivery. That’s good news for Instacart, which fulfills Walmart same-day orders in Canada, and for the 200 workers the grocery-delivery service is planning to hire in Toronto.