Walmart transforms its stores into fulfillment hubs to compete with Amazon's same-day delivery dominance. The retail giant is testing back-room warehouse space at multiple Dallas locations to stage third-party marketplace items for rapid pickup and delivery. This strategic move leverages Walmart's 4,700-plus store footprint as a logistics advantage. While Walmart's marketplace generated under $14 billion in sales last year compared to Amazon's $333 billion, the company is aggressively expanding faster-growing categories like home goods and fashion, which are climbing over 30% annually. With marketplace revenues growing around 20% yearly, Walmart aims to close the gap by converting physical retail locations into distribution centers, directly challenging Amazon's fulfillment infrastructure and delivery speed capabilities.
