Walmart adds parcel stations to speed delivery

Walmart, in a bid to speed next-day delivery operations, is adding parcel stations to more than 40 stores by the end of the year, the retail giant announced.

The parcel stations will supplement Walmart’s stores-as-delivery hubs strategy.

“In many ways, you can think of a parcel station like a mini post office that receives and delivers packages,” Walmart SVP of Transportation and Delivery Jennifer McKeehan said in a company blog post. “Parcel stations help us move goods even faster to a customer’s home by using our private fleet to transport more online orders. Packages originate in our fulfillment centers and move to a sortation center or directly to stores, where they are then delivered to a customer’s home using our last-mile delivery network.”

Walmart said it intends to expand the parcel stations to more of its stores next year. The first batch of parcel stations, though, will help Walmart through the busy holiday season, McKeehan said.

The retailer said the stations make the delivery process more efficient.

“Collectively, the entire process builds density to lower the cost of delivery, which we can reinvest back into the customer experience,” McKeehan noted.

Parcel stations will be used for Walmart orders as well as orders placed through Walmart GoLocal, the retailer’s white-label local delivery service for small businesses.

Last week, enterprise retail technology solutions firm Bamboo Rose announced a partnership with Walmart and Sam’s Club to streamline the retail giant’s supply chain through a cutting-edge enterprise sourcing platform.

The new technology will enable Walmart workers to more easily collaborate with suppliers, buyers and product development teams, while providing greater visibility around volume and cost, Bamboo Rose said.

The upgrade is expected to greatly reduce waste in categories such as perishable goods.

“At Walmart, we’re constantly looking for ways to improve our business so we can help our customers save money and live better,” Daniel Berg, VP of product global sourcing for Walmart, said in a statement. “I’m thrilled to be able to work with Bamboo Rose to develop a brand-new ecosystem connecting our global teams with a single platform, empowering us to go beyond simply streamlining information. With this technology, we’ll be able to engage with suppliers across multiple growth stages, expand global offerings and make more efficient decisions.”