China Doesn't Want to Go to the Store for Groceries, EitherIssue 12-04-17 |
In the battle for online grocery shopping and delivery, Wal-Mart is working on a business model for the Chinese market.
At 140 current stores, it has set up a "dark store" in a separate area where workers grab printouts of the online orders, retrieve the items for an order, and then hit a button to summon independent contractors for delivery. The online inventory in each store is customized for the local area.
By 2018, the one-hour delivery service will be available from 161 Wal-Mart supermarkets. The company also has created mini-warehouses, or dark stores that are not open to consumers, and is introducing free-standing dark stores that may be located farther than 3km from a Wal-Mart supermarket. That will widen the circle of customers who can get their groceries within an hour.
This online business is contributing to Wal-Mart's overall 4 percent net-sales growth rate in China.