Walmart is venturing into restaurant delivery as part of its strategy to broaden the reach of its logistics network across its 4,600 US stores. The retail giant has begun asking drivers on its Spark delivery platform at select locations to deliver restaurant orders alongside traditional Walmart purchases, according to reports.
Spark Platform Expansion
Walmart Spark, the retailer's crowdsourced delivery platform, surpassed $150 billion in global sales for the first time last fiscal year. The platform allows drivers to earn money by delivering groceries, general merchandise, and now potentially restaurant orders placed through the service. Data tracked by Gridwise indicates that Spark drivers earn a median of $21.74 per hour in total trip pay, significantly higher than many rival delivery apps where drivers typically make between $10 and $18 per hour, including platforms such as Uber Eats.
Delivery Fees and Membership Benefits
Customers can receive same-day delivery from Walmart for a $9.95 fee, while Walmart+ members have the delivery charge waived as part of their subscription benefits. The rollout appears to have started last Monday, with an in-app message viewed by Business Insider instructing that orders could include 'items like meals, sides, or drinks.' Another message suggested that some restaurant deliveries could be batched together with Walmart merchandise orders, signaling a potential broader multi-stop delivery strategy.
Integration with In-Store Restaurants
Walmart has already begun integrating regional restaurant brands into select stores, including Wienerschnitzel, the California-based hot dog chain that announced plans last year to expand into Walmart locations across the western US. Central to this strategy is the Spark delivery network, launched in 2018, which now operates across all Walmart stores nationwide to fulfill online orders. The service primarily focuses on same-day delivery of groceries, fresh produce, electronics, and other Walmart merchandise.
Focus on Delivery Speed
A key priority for the retail giant has been improving delivery speed to meet rising customer demand while alleviating pressure on in-store workers responsible for picking and packing orders. Walmart's delivery network has grown so extensively that it is now being used by outside companies, including The Home Depot and collaborators such as Sur La Table. Walmart did not immediately respond to a request for comment.
Potential Revenue and Restructuring
This launch could be a moneymaker for the company, which recently announced it was cutting 1,000 employees as part of efforts to streamline parts of its global technology operations. Walmart told employees on May 12 that it was restructuring parts of its global technology and product teams after determining some workers were handling overlapping projects. The cuts come despite years of strong sales growth at Walmart, the nation's largest private employer with roughly 1.6 million US workers, and are focused primarily on corporate staff as the company looks to streamline its tech operations.
The shake-up follows Walmart's hiring of former Instacart executive Daniel Danker last year to lead its AI acceleration efforts alongside chief technology officer Suresh Kumar. Employees affected by the restructuring were encouraged to apply for other roles, with relocations reportedly centered around Walmart's hubs in Bentonville and Northern California.
