Online Grocery Is a Land Grab, and Walmart Is Winning
Walmart (NYSE: WMT) has quickly come to dominate the online grocery market thanks to its massive brick-and-mortar presence. The big-box retailer plans to offer curbside pickup at over 3,100 stores by the end of the year, covering 80% of the U.S. population, and its delivery service will reach about 50% of American households. As a result, the company has attracted 62% more customers than its next closest rival in online grocery, Instacart, according to a recent survey from Second Measure.
An interesting note in the survey is that online grocery shoppers are fiercely loyal. No service outside of Instacart shared more than 9% of their customers with any other service in Second Measure's survey. So, Walmart stands to gain from the first-mover advantage in many of the markets it's entering, putting pressure on competitors like Amazon (NASDAQ: AMZN), which has been much slower to expand.
Image source: Walmart.
Source Fool.com
