Dive Brief:
- Walmart is bringing its drone delivery coverage with Wing to seven new markets as part of an ongoing growth plan, Wing announced in a blog post.
- The metro areas covered by the expansion include New Orleans, Philadelphia, Phoenix, San Diego, the San Francisco Bay Area, Salt Lake City, and Memphis, Tennessee. Wing's goal is to begin operations in the new markets by 2027, the company said in an emailed response to sister site Supply Chain Dive.
- "Our work with Walmart has shown that drone delivery isn’t just a novelty, it’s a service many customers count on multiple times per week," Heather Rivera, Wing’s chief business officer, said in the post. "We’re already working with many communities in the seven new markets, as we accelerate our progress to bring ultra-fast delivery to 40 million residents throughout the U.S."
Dive Insight:
Walmart’s expansion of drone delivery to seven new markets aligns with its ongoing push to speed up its delivery capabilities.
Wing's drones can deliver goods in as quickly as 30 minutes and travel up to 60 miles per hour, delivering items ranging from ingredients and electronics to household goods, per the post. Meanwhile, Walmart has also been leveraging its store network to reach roughly 60% of the U.S. population in 30 minutes or less and keep pace with rival and fellow drone user Amazon.
Walmart's drone delivery offering overall currently covers 66 locations across four states, including Texas, Georgia, North Carolina and Arkansas, Walmart U.S. President and CEO David Guggina said on an earnings call last month. The service is gaining momentum — the retailer reached its 1 millionth drone delivery in Q1, with a little more than 40% of those occurring last quarter, according to Guggina.
The retailer has been leveraging Wing's drones in Dallas-Fort Worth, the metro Atlanta area and Greater Houston. The upcoming launches announced Tuesday are part of a previously announced expansion initiative, in which Walmart and Wing aim to operate drone deliveries from 270-plus stores by 2027.
"Before launching in each new city, Wing and Walmart will work closely with local leaders and community members to share more about Wing’s safe, reliable delivery system designed to serve single-family homes, apartment buildings and commercial delivery zones throughout the community," according to the post.
As it grows its collaboration with Walmart, Wing has been expanding its drone delivery capabilities this year through partnerships and regulatory advancements. The company announced in March that it received Federal Aviation Administration approval to fly drones safely after sunset, leading to later-day services for customers near a Walmart store in Lancaster, Texas. Wing also announced a collaboration with Papa Johns to deliver sandwiches by air in North Carolina.