Walmart (NYSE:WMT) is making a push into NYC with the help of Jet.com.
Jet.com, which Walmart bought two years ago, is planning to open a distribution center in NYC. This will allow the company to start offering same-day grocery delivery to residents in the area. It will also delivery other merchandise as well.
According to Jet.com, the company is planning to open the distribution center sometime this Fall. The facility will be located in a warehouse in the Bronx. Jet.com has yet to reveal what the pricing options will be for customers or how fast deliveries will be made.
One thing we do know about the Jet.com grocery delivery service is that it won’t have anything to do with Walmart when it launches. However, it is possible that the service will start to incorporate WMT orders once it has a foothold in the city, reports The Wall Street Journal.
The push into NYC will have Jet.com working with another Walmart subsidiary: Parcel. Parcel is a last-mile delivery service that makes sure packages make it to customers quickly. By combining these two services, it appears that WMT may really have a chance at penetrating the same-day delivery market in NYC.
Walmart has been looking to spread its business to NYC for years now. However, it has always faced strong opposition from labor unions. It also doesn’t help that real estate prices are high in the city. This makes e-commerce the better option to reach out to possible NYC customers, Business Insider notes.
As of this writing, William White did not hold a position in any of the aforementioned securities.
