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Walmart Expands Restaurant Delivery to Compete with DoorDash, Uber Eats

Created at 3 Sep · 11:06 AM1 source↑ Market-relevant
IN SHORT

Walmart is expanding its restaurant delivery service through a new partnership with Dunkin', aiming to leverage its vast store network and Spark delivery drivers to compete with established players like DoorDash and Uber Eats. The move signifies a strategic shift for Walmart, positioning itself as a broader local-commerce platform beyond its own merchandise.

Key Numbers

10,000Dunkin' locations in the US
150Initial Dunkin' locations within Walmart stores
1,400Subway locations within Walmart stores

Who's Involved

Walmart
Retail giant expanding into restaurant delivery
Dunkin'
Inspire Brands-owned coffee and donut chain partnering with Walmart
DoorDash
Established food delivery service
Uber Eats
Established food delivery service
Greg Cathey
Walmart's senior vice president, e-commerce fulfillment transformation
Walmart Expands Restaurant Delivery to Compete with DoorDash, Uber Eats

↳ Why This Matters

Walmart's expansion into restaurant delivery signifies a major shift in the competitive landscape of local commerce and food delivery, potentially disrupting established players and offering consumers greater convenience by bundling restaurant orders with grocery shopping.

Key facts

  • Walmart is partnering with Dunkin' to offer restaurant delivery.
  • The service will expand to most of Dunkin's 10,000 US locations.
  • Walmart aims to leverage its Spark delivery drivers for these orders.
  • This move positions Walmart as a competitor to DoorDash and Uber Eats in the restaurant delivery market.
  • Customers can order Dunkin' items alongside Walmart merchandise via the Walmart app or website.

Walmart is making a significant push into the restaurant delivery market, aiming to leverage its extensive store footprint and delivery infrastructure to compete with established players like DoorDash and Uber Eats. The retail giant has announced a partnership with Dunkin' that will initially roll out at 150 locations within Walmart stores and eventually expand to most of the chain's 10,000 US locations.

This strategic move represents an evolution of Walmart's business model, transforming it into a broader local-commerce platform. Previously, Walmart's delivery efforts, primarily through its Spark service, focused on delivering its own merchandise. Now, the company intends to allow customers to order restaurant items, such as coffee and donuts from Dunkin', alongside their usual household essentials through Walmart's app and website.

Walmart's vast network of stores, with locations within 10 miles of 90% of the US population, positions it to potentially bundle orders from nearby restaurants with items from Walmart. The company has been testing in-store restaurant deliveries and confirmed its entry into this sector earlier this year with a partnership with Subway, which operates about 1,400 locations within Walmart stores.

Despite the potential, Walmart faces stiff competition from services like DoorDash and Uber Eats, which possess significant operational experience and brand recognition in the food delivery space. These competitors are also innovating, with Uber seeking to acquire Delivery Hero for international expansion and DoorDash exploring self-driving robot deliveries.

Frequently asked questions

Walmart aims to become a broader local-commerce platform by leveraging its store network and Spark delivery drivers to offer restaurant delivery alongside its own merchandise, competing directly with services like DoorDash and Uber Eats.

Walmart has partnered with Dunkin' for an expanded restaurant delivery service and previously confirmed a partnership with Subway.

Customers will be able to order Dunkin' items through Walmart's app or website, integrating these orders with their regular Walmart purchases.

What Happens Next

01Expand Dunkin' delivery service to most of its 10,000 US locations.
02Continue to develop its Spark delivery service for broader local commerce offerings.

How It Developed

Walmart announced a food-delivery partnership with Dunkin'.
The partnership will initially launch at 150 Dunkin' locations within Walmart stores.
The service is planned to expand to most of Dunkin's 10,000 US locations.
Walmart aims to use its Spark delivery drivers to fulfill these restaurant orders.
Walmart previously tested in-store restaurant deliveries and partnered with Subway.
The company sees this as an evolution of its business model into a local-commerce platform.

Sources

T1
Walmart wants a bite of DoorDash and Uber EatsBusiness Insider

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