Feb 28, 2020 - Economy & Business

Walmart tests rival to Amazon Prime

Walmart shopping carts
Photo: Joe Raedle/Getty Images

Walmart plans to start publicly testing its new membership program called Walmart+ next month in hopes of competing with Amazon Prime, Recode's Jason Del Rey scoops.

Why it matters: The paid membership program "would include perks that Amazon can’t replicate, in part to avoid a direct comparison to Prime."

Walmart+ is expected to be a rebrand of Walmart'sDelivery Unlimited services, which charges customers $98 a year for unlimited, same-day delivery of fresh groceries, Recode writes.

  • Walmart+ ultimately "could include discounts on prescription drugs at Walmart pharmacies and fuel at Walmart gas stations, as well as a Scan & Go service that would allow shoppers to check out ... without waiting in line."

The bottom line: Walmart's executives believe customers need to view the program as valuable enough to pay for it, while simultaneously being different enough from Amazon Prime as to avoid a comparison Walmart likely wouldn't win.

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