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Wal-Mart (WMT) might be joining the same-day delivery battle: hungry to gain ground against...

Wal-Mart (WMT) might be joining the same-day delivery battle: hungry to gain ground against Amazon (AMZN), the retail giant is testing a same-day service that relies on its stores, costs users $10, and features a 4-hour window. Google, eBay, and many small online retailers are also experimenting with same-day, in spite of the logistics and cost challenges. Amazon remains coy about the extent of its ambitions. "How much time are you saving by not going to the store? People want it now, they want it fast," says an eBay spokeswoman.
Comments (3)
  • HZLIU
    , contributor
    Comments (212) | Send Message
     
    Said it before. Amazon.com can not compet on the same-day delivery with Walmart alike. The same-day delivery is the strength of B&M. Pizzahut is best on the same-hour delivery. If Pizzahut can do it, Walmart or Target can do it too but Amazon.com can not.
    27 Dec 2012, 03:59 PM Reply Like
  • wjbrown2003030
    , contributor
    Comments (39) | Send Message
     
    I somewhat (respectfully) disagree.

     

    It's one thing to deliver a pizza -- itself a repeatable process, involving no more than a handful of "skus". Its quite something else to pull inventory from shelves, potentially among tens of thousands of skus, and to do it with any kind of QA/QC and to do that and DELIVER it by vehicle within 4 hours, and to do it at any kind of scale.

     

    This is going nowhere. Press reports notwithstanding, it cannot be done cost and price effectively at any kind of scale for it to be material. And if it is not material ... then why do it at all?
    27 Dec 2012, 04:19 PM Reply Like
  • HZLIU
    , contributor
    Comments (212) | Send Message
     
    You are totally right about the scale. That is why Amazon.com can not do it but Walmart.com can. You don't need everything for the same day delivery, how about diaper type of things. For Amazon to make real money, you want the buyer to buy repeatable items. This is exactly Amazon.com is doing now. If you want something special, you can wait couple days. BTW, the price of daily consumable at Amazon.com is not competitive lately.
    27 Dec 2012, 08:22 PM Reply Like
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