According to the Globe and Mail, Walmart will be expanding its grocery delivery service to more homes in Toronto’s downtown core.
Previously, the service was being tested in three of the city’s condos. Walmart CEO Lee Tappenden said to the Globe that while the retailer had previously been using its own trucks, the company will now also work with “Uber-style” delivery services. The delivery service comes with a $10 fee and requires a minimum $50 order.
While many companies are considering growth into the online grocery category, this sector has not caught on in Canada. Last year, BMO released a report that noted grocery ecommerce represented just 1 per cent of total food purchases in Canada.
As such, online grocery seems only to be a way for large-scale grocers—like Costco and Walmart—to remain competitive with one another. While you may want to investigate the future of online grocery retail, it will not be a major issue for independents in the years to come.
