Pickup depot built for busy moms, Wal-Mart says

Judith McKenna, the new chief development officer for Wal-Mart U.S., said the company’s grocery pickup depot is designed for moms who don’t have time to shop. They won’t even have to get out of their cars at the site, she said.
Judith McKenna, the new chief development officer for Wal-Mart U.S., said the company’s grocery pickup depot is designed for moms who don’t have time to shop. They won’t even have to get out of their cars at the site, she said.

ROGERS -- Wal-Mart Stores Inc. has identified the busy "mum" as a new target customer, and its yet-to-be-named grocery pickup depot -- to be tested in Bentonville -- was designed with her in mind.

"We know that customers value price, we know that they value assortment, but we've noticed that what's changing as well is their expectation that their shopping missions be easier, quicker and more convenient," Judith McKenna, the new chief development officer for Wal-Mart U.S., told a group of reporters Thursday.

The United Kingdom native was scheduled to talk about the new pickup facility at its construction site on Dodson Road near the intersection of Southeast Walton Boulevard in Bentonville. But rain forced the presentation indoors at the Embassy Suites in Rogers.

The depot -- or "shed" as McKenna called it -- will have 15,000 square feet of flexible space and will carry about 10,000 fresh, dry and frozen grocery items.

McKenna made it clear that, "This isn't a store. You can't go in."

Customers will place orders online for pickup at a designated time, preferably within two hours. When they arrive at the depot, they'll go to one of several kiosks to get an assigned parking space. Within a few minutes, the order will be delivered to their car and a worker will put it the trunk. There is no fee for using the depot.

"You don't even have to unfasten your seat belt. You don't have to get the kids out of the car. You don't have to get the dog out of the car," McKenna added.

The concept is perfect for customers headed to and from work, she said, and those needing a "top-off" shopping trip for items that they have run out of since the weekend "stockpile" trip, which is usually done at a Wal-Mart Supercenter.

Jeff McAllister, senior vice president of innovations for Wal-Mart U.S., said everything about the depot will be efficient and effective. Even the racking inside, like Lego blocks, can be disassembled and put back together to adjust for volume and type of inventory.

The depot is the next step to the retailer's Walmart To Go grocery pickup/delivery concept, which has been tested in the San Francisco and San Jose, Calif., markets since 2011 and in Denver since the end of last year. With the California programs, orders can be delivered to shoppers' homes for a fee of $5 to $10. In Denver, shoppers can have orders delivered to their homes for a fee or can pick them up curbside at a Wal-Mart Supercenter at no extra cost.

Neil Ashe, president and CEO of Wal-Mart's Global eCommerce business, said Thursday that the San Jose test market sets a new sales record every week.

"The reaction has been outstanding," Ashe said. "We're really excited about where that can lead."

In the Denver test market, more than 90 percent of customers surveyed rated Walmart To Go as above average or excellent for the service Wal-Mart was providing, said McKenna.

The company also offers Site to Store, a free service that allows shoppers to have their online orders shipped to any Wal-Mart store within the contiguous United States. The service gives Wal-Mart customers in-store access to thousands of items, some of which are not available in stores. Site to Store is popular among shoppers who are looking to buy larger items, such as bicycles or trampolines.

Business on 06/06/2014

Upcoming Events