Walmart Ramping Up ShippingPass, Its Partial Answer To Amazon Prime

Gets online fulfillment down to two days for most of the U.S.
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Walmart’s test of a $49/year two-day shipping service is going wide.

Walmart’s test of a $49/year two-day shipping service is going wide.

The pilot ShippingPass program, which launched last spring by invitation only, is now being offered to the public along with a free 30-day trial.

As U.S. president/CEO Fernando Madeira noted, “ShippingPass is about half the price of similar programs out there at just $49 a year, and customers who are using it love it.”

Features also include unlimited year-long shipping, no minimum order requirement, and free online or in-store returns.

Walmart’s prime competitor is Amazon’s $99/year Prime membership program, which provides one-day, two-day and Sunday deliveries, as well as a wealth of audio and video content and other perks at no extra charge.

Related: Walmart’s Online CE Sales Growth Lags Best Buy, Bests Apple

More than 1 million items are available for the service, primarily bestselling products in core categories like CE, apparel, baby, and health and beauty. Exclusions include items with freight charges and all third-party seller merchandise.

Nearly all locations within the Continental U.S. are now eligible for ShippingPass thanks to the rapid buildout of seven dedicated online distribution centers over the last 18 months, giving the retailer two-day access to 95 percent of U.S. customers.

Walmart’s multibillion-dollar e-commerce investment also included development work at its @WalmartLabs facility in San Bruno, Calif., which conjured up the algorithms that determine where online orders should ship from based on customer location.

Current ShippingPass members will receive an extra month of service at no charge, in light of the free-trial offer.


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