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Walmart Taps FedEx Office to Strengthen Against Amazon

Retailer offering packing, shipping, printing solutions at 500 in-store locations

In its most recent push to combat the ever-growing threat of Amazon, Walmart Inc. has partnered with FedEx Office, a subsidiary of FedEx Corp., to offer packing, shipping and printing solutions at Walmart stores nationwide. The companies announced Tuesday they will add 500 new FedEx Office locations in Walmart stores over the next 24 months.

The announcement follows the success of a pilot program that spanned 47 locations within Walmart stores across six states, and marks another move in Walmart’s ongoing effort toward becoming a one-stop shop.

“We know shipping and printing is one such service [our customers] want to access in our stores, so we’re thrilled to expand our relationship with FedEx so that even more of our busy customers can take advantage of their pickup, drop off and printing services,” said Daniel Eckert, SVP of Walmart services and digital acceleration, in a statement.

In addition to packing, shipping and printing services, customers can have their packages held at any Walmart-based FedEx Office location for up to five business days either directly or by redirecting the package via FedEx Delivery Manager.

“This strategic initiative between FedEx Office and Walmart builds on a shared goal of providing customers convenience and value, so they can save both time and money,” Brian Philips, CEO of FedEx Office, said in a statement. “The growth of our store network to 500 new locations brings our brand even closer to busy consumers who have told us they are seeking secure, reliable options for packing, shipping and receiving packages.”

The addition of FedEx Office locations not only positions Walmart as a destination for expanded needs and services, but also serves as a strategic move to drive foot traffic throughout the store perimeter and spur impulse buys.

"This is a great step for Walmart,” said Charles Dimov, VP of marketing at software company OrderDynamics. “The next possible step is the synergy of making both Fedex and Walmart stores as pickup points for in-store pickups. This caters to additional purchases, as 58% of pickups result in additional buys."

The FedEx Office and Walmart rollout is part of the nationwide expansion of the FedEx retail channel, a network of retail locations offering FedEx services.

Walmart has continuously been rolling out new technology and services in an effort to provide a seamless shopping experience. Last week, the retailer announced the expansion of its grocery delivery service to 100 markets this year, up from the six markets that it currently serves. The move would bring Walmart delivery to roughly 40% of U.S. households, representing a bold new offensive to win convenience-minded shoppers.

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