Walmart Adds Subway Delivery to Express Service, Targets 1,400 Locations

Walmart (NasdaqGS:WMT) is adding Subway restaurant orders to its Express Delivery service, marking its first integration of a restaurant partner. Customers in select states can now order Subway meals within the Walmart app and website, alongside regular Walmart items, for rapid delivery. The rollout is set to target 1,400 locations by late summer, expanding the scope of Walmart's rapid delivery offering.

The Product

The new service combines Subway orders with Walmart purchases in a single order, allowing customers to get quick meals along with grocery essentials. Delivery is handled through Walmart's Express Delivery service, which aims to deliver orders within hours.

Pricing and Availability

Walmart has not announced any specific additional fees for this service, but it is expected to be subject to standard delivery charges. The service is currently available in select states, with plans to expand to 1,400 locations by late summer.

Competition

This move comes as major retailers like Amazon and Target compete to enhance their rapid delivery services. Target recently added delivery options from restaurants like Starbucks, while Amazon has expanded its partnerships with food delivery services.

Potential Impact on the Company

The partnership is expected to increase app usage frequency and order volume, boosting customer loyalty and revenue. It may also attract a new segment of consumers who prioritize convenience in shopping.