Market Overview

Walmart Tests New Last-Mile Grocery Delivery Service

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Spark Delivery Service Just One More Way to Serve Customers as
Company Expands Grocery Delivery Across the Country

As Walmart expands its Grocery Delivery service, giving its customers
the option to shop when and how they want, the company today announced a
new last-mile delivery pilot – Spark Delivery – exploring an additional
way to get groceries from their stores to customers' front doors.

Spark Delivery is a crowd-sourced delivery platform that allows Walmart
to learn even more about the full last-mile delivery process. The pilot
uses an in-house platform that provides drivers with the ability to sign
up for windows of time that work best for their schedule as well as
Grocery Delivery order details, navigation assistance and more.
Components of Spark are powered by Bringg, a leading delivery logistics
technology platform. Walmart's team of personal shoppers are an
important component of the overall process as they meticulously shop for
customers' orders. Spark Delivery engages the services of independent
drivers who partner with Delivery Drivers, Inc, a nationwide firm who
specializes in last-mile contractor management, to complete deliveries.

"We're saving customers time by leveraging new technology, and
connecting all the parts of our business into a single seamless shopping
experience: great stores, easy pickup, fast delivery, and apps and
websites that are simple to use," said Greg Foran, president and CEO,
Walmart U.S. "We're serving our customers in ways that no one else can.
Using our size and scale, we're bringing the best of Walmart to
customers across the country. Spark Delivery is one way we're exploring
how to get quality groceries from our door to our customers' doors."

Delivery Drivers, Inc., DDI, the administrator of driver management for
Spark, manages recruiting, screening and background checks, payment, and
accounting, among other services for drivers. Drivers are paid by the
delivery. They also have access to helpful services and information
through DDI, including assistance in understanding order flow, group
discounts and a Contractor Entrepreneurial Program that helps drivers
establish their own small businesses.

"It is important to us at DDI that we help each independent driver run
their transportation business correctly," said Aaron Hageman, CEO,
Delivery Drivers, Inc. "We are excited to partner with Walmart to allow
them to focus on providing great products while we can build and support
a professional driver network to focus on the delivery side of the
business."

Combined with third-party crowd-sourced delivery providers, Walmart is
well on its way to bringing Delivery to 100 metro areas covering 40
percent of U.S. households. Today, the retailer's Grocery Delivery
service is available in nearly 50 markets including Atlanta, Chicago,
Denver, Miami and Seattle. Walmart's work with third-party delivery
providers continues to be a leading part of delivery strategy and
important to the future, even as this pilot begins.

Spark Delivery is currently being piloted in Nashville and New Orleans
with plans to roll out to a few more metro areas this year. Nothing
changes for delivery customers in these markets. Customers still follow
the same easy process to get quality, affordable groceries delivered to
their doors.

"Our customers love Grocery Pickup and Delivery – it offers convenience
paired with the everyday low prices customers expect from us," said Tom
Ward, vice president, Digital Operations, Walmart U.S. "We're always
looking for the best ways to serve them, so we're exploring a number of
different options for getting groceries from our stores to the
customer's front door – some in-house, some third-party."

Walmart Grocery Pickup and Delivery

Walmart Grocery Delivery brings customers the option of shopping when
and where they want for quality, fresh produce, meat, seafood and bakery
items, along with pantry staples, consumables and seasonal general
merchandise. Customers place their orders online at Walmart.com/grocery
or on the existing Walmart Grocery App, and unlike other services, they
find the same everyday low prices on items that they do in stores.

The retailer also offers an Online Grocery Pickup service that allows
customers to order their groceries online and pick them up in stores
without ever getting out of their cars. The service, which has become a
customer favorite and touted as a "Grocery Hero" for moms on the go and
time-strapped families, is now available in 1,800 stores, with a total
of 2,100 to be open by the end of the year.

Walmart employs more than 25,000 personal shoppers, up from 18,000
earlier this year, who power this program – with thousands more being
added. These associates must complete a three-week training program to
learn how to select the freshest produce and the best cuts of meat for
Online Grocery customers.

Groceries can be delivered to customers as soon as the same day.
Walmart's Grocery Delivery carries a $9.95 fee and a $30 minimum order –
no subscription, no price markups. Customers can get their first order
over $50 delivered for free with promo code FRESHCAR.

About Walmart

Walmart Inc. (NYSE:WMT) helps people around the world save money and
live better - anytime and anywhere – in retail stores, online, and
through their mobile devices. Each week, nearly 265 million customers
and members visit our more than 11,200 stores under 55 banners in 27
countries and eCommerce websites. With fiscal year 2018 revenue of
$500.3 billion, Walmart employs over 2.2 million associates worldwide.
Walmart continues to be a leader in sustainability, corporate
philanthropy and employment opportunity. Additional information about
Walmart can be found by visiting http://corporate.walmart.com,
on Facebook at http://facebook.com/walmart
and on Twitter at http://twitter.com/walmart.

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