Best Buy Co Inc (NYSE:BBY) announced a free next day delivery to 99% of the customers. The free next day delivery is only available on holidays. However, heavy products – Refrigerator and large screen TVs are fit for standard free delivery. The customers can avail of free next day delivery on various items that include espresso machines, headphones, and tablets. Free standard shipping applies to the customers living in areas where the next day free is delivery is not available. The customers can also pick up items from a local store within an hour of placing an online order.
Best Buy is giving a tough fight to Amazon.com, Inc. (NASDAQ:AMZN), which has got the reputation of offering expedited delivery. Its customers still have to sign up for Prime membership to avail expedited shipping for free.
Best Buy also offers Apple-certified repairs to the customers. The company is luring the customers into its stores with incredible offers while creating a nightmare to e-commerce giant – Amazon.
Walmart experiments free next day delivery
Walmart is also experimenting with free next delivery to the customers to win in the competition with Amazon. The customers can avail of free next day delivery on orders above $35. You can find the items with the label ‘free next day delivery’ at Walmart to enjoy next day free delivery at your doorstep. Walmart accepts exchange or returns at its local store. To take on Amazon, Walmart took over Jet.com, an e-commerce company, for $3.3 billion in September 2016. It took almost three years for the brick and mortar retailer to post a 53% increase in its stock price.
Walmart expects a loss of $1 billion
Walmart recorded a 40% increase in online sales in 2018 by successfully expanding the online grocery business. The company is now enjoying a competitive position after the acquisition of Jet.com. Walmart is expecting a loss of $1 billion from its e-commerce arm on the projected revenues of $22 billion. However, Walmart has recorded a handsome profit of $7 billion in the previous fiscal year.
Amazon logged 38% of online sales in the US this year, an increase of 32% from 2016. On the other hand, Walmart recorded 4.7% of online sales. Therefore, Walmart is still far behind in online sales when compared to Amazon.