Walmart and Amazon may be fighting each other for grocery dominance until the end of days. As the battle goes back and forth, with one or the other making strides in virtual reality, private-label items, and faster delivery, Walmart has edged ahead in at least one area: click-and-collect.
In an op-ed piece published on Bloomberg, the news source outlined the ways in which curbside pickup—a business that is set to account for $35 billion in sales in the United States by 2020—is being embraced by retailers like Walmart and Target. Currently, Walmart’s grocery pickup program is available at 2,100 stores and is estimated to be in 3,100 by the end of this year.
Amazon, however, has fallen behind on this particular model of grocery delivery.
A report from Cowen & Co. detailed the ways in which Wamart’s grocery pickup is contributing to the retailer’s overall U.S. sales growth. In the report, the analysts forecast Walmart’s U.S. comparable sales to jump 2.8 percent for the current fiscal year over the prior year, and that grocery pickup will account for between 0.9 and 1.3 percentage points.
Amazon certainly isn’t sitting idly by while click-and-collect continues to grow. Although the click-and-collect format doesn’t necessarily make sense for Amazon, it still offers pickup options with its AmazonFresh Pickup in Seattle—a drive-up spot for customers looking to pick up groceries.
Whichever way the click-and-collect format will come down, it’s no secret that Amazon and Walmart will continue to duke it out. As Bloomberg suggests, will Walmart continue to innovate in the click-and-collect sector? Will Amazon work to adapt this program in such a way that benefits its end game?
Deli Market News will bring you the latest.