Walmart, already the nation's biggest grocer, has decided to try home delivery. The retail giant is experimenting in San Jose, Calif., with a new online service called "Walmart To Go," which lets shoppers order fresh food and other supermarket fare on Walmart.com and have it delivered to their doorstep for a $5 fee. While companies such as Amazon, Peapod, Safeway, and Fresh Direct already offer similar services, other chains have failed in their attempts to conquer the online market. Is Walmart wise to give such a risky venture a try?
Yes, this is a smart move: This service could help Walmart sell even more groceries, says Craig Johnson of consulting firm Customer Growth Partners, as quoted by The New York Times, because right now very few customers pop into massive Walmart stores to do their quick shopping. But the company will have to iron out mind-boggling logistical issues to make this work. "These are not simple operations to set up profitably, as Webvan and a host of others have found out over the years."
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