Walmart, DoorDash Make Grocery Delivery Deal

Walmart is expanding its same-day online grocery delivery through a partnership with third-party courier DoorDash.

The partnership will begin in Atlanta and is expected to expand to additional cities. It represents the first food retail deployment for DoorDash, which until now has done restaurant deliveries. It also represents another of the many options Walmart is utilizing to expand its grocery delivery capabilities, with an eye on reaching 40% of the U.S. population with delivery this year.

Walmart is partnering with Uber and Postmates in other cities. Tuesday’s announcement came on the same day rival Amazon announced an expansion of cities from which it will deliver same-day orders from its Whole Foods stores.

Walmart said its own employees would assemble orders, and it would utilize DoorDash drivers for delivery. Orders are received and processed on Walmart’s website and mobile apps. Customers can select a delivery window when they order.

The service carries a flat $9.95 per-order fee and requires a $30 minimum order.

Those terms are identical to those Walmart announced earlier this month with Postmates, which is providing delivery in Charlotte, N.C. Late last year, Walmart announced a deal with Deliv to make grocery deliveries in the San Jose, Calif. area.

Related:Farmstead Partners With Postmates For 30-Minute Delivery

“We’re connecting all the parts of our business to create a shopping experience like no one else can. With the expansion of our Online Grocery Delivery program, customers can have great items at everyday low prices delivered to their door with the click of a button,” said Greg Foran, Walmart U.S. president and CEO, in a statement. “With the help of DoorDash, we’re delivering the best of Walmart to customers in Atlanta and beyond.”

“Our work with Walmart marks DoorDash’s official launch beyond restaurant delivery,” DoorDash COO Christopher Payne said. “We look forward to expanding across the country, enabling Walmart customers everywhere to spend more time doing the things they love.”

San Francisco-based DoorDash is a technology company that connects customers with their favorite local and national businesses in more than 650 cities across the United States and Canada, and was founded in 2013.