Can even Wal-Mart succeed at online grocery shopping?


Wal-Mart (NYSE: WMT) logoWal-Mart (NYSE: WMT) may be looking at entering the largely failed waters of online grocery shopping, according to sources. If the world's largest retailer is really on the cusp of trying to form a strategy to deliver grocery products to customers in the markets it serves in the U.S., it may indeed have something worth fighting for.

Unfortunately, the past of online grocery shopping is littered with failures -- most notably, Webvan. While the concept is very neat and handy, the logistics just have not worked for any company yet. But then again, not many companies have the location breadth or resources of Wal-Mart. If any company could make this work, it would be Bentonville's brightest.

The retailer has the locations and the selection to serve almost every populous area of the U.S. -- all it needs is a strategy and a delivery fleet. Although the company's most prolific effort thus far deals with parcel delivery of food products (just like the model Amazon.com uses), it could trump all others by offering same-day or next-day delivery that could feature a majority of pre-packaged and fresh food from a local Wal-Mart location.

Sure, Wal-Mart may need to charge a delivery fee of recoup transit costs, but this is a field that no national company is working in from coast to coast. It's Wal-Mart's game if it wants it.

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