Walmart is set to offer last mile delivery using a fleet of all-electric vehicles to support its ever growing eCommerce business in 2023. The retail giant has inked a deal with electric vehicle maker Canoo to purchase 4,500 all-electric delivery vehicles, beginning with the Lifestyle Delivery Vehicle (LDV), with the option to purchase up to 10,000 units.
The use of these EVs for delivery will also contribute to Walmart’s goal to achieve zero-emissions by 2040. Walmart will be the first to receive Canoo’s LDV and it is anticipated to begin hitting the road for Walmart deliveries in 2023.
“By continuing to expand our last mile delivery fleet in a sustainable way, we’re able to provide customers and Walmart+ members with even more access to same-day deliveries while keeping costs low,” said David Guggina, senior vice president of innovation and automation, Walmart U.S.
The LDV is an American-made commercial EV optimized for sustainable last mile delivery use cases. It is built on a proprietary multi-purpose platform (MPP) architecture that integrates the motors, battery module and other critical driving components.
The vehicle has a last mile delivery optimized cabin and customized cargo space. It utilizes true steer by wire technology, reducing moving parts and cabin intrusion, with more usable interior space.
The LDV is engineered for high frequency stop-and-go deliveries and speedy vehicle to door drop-off, including grocery and food/meal delivery. Its customized interior is designed for small package delivery, at competitive per stop economics.
The LDV fleet, driven by Walmart associates, will be used to deliver online orders, from groceries to general merchandise, as well as the potential to be used for Walmart GoLocal, the retailer’s delivery-as-a-service business.
The LDVs will add to Walmart’s already impressive logistics capabilities. The retailer currently uses a combination of Walmart associates, independent contractors driving on the Spark Driver Network, third-party delivery service providers, and in some locations, autonomous vehicles and drones, to make deliveries.
Through their expansive last mile delivery network, Walmart can reach 80 percent of the U.S. population with same-day delivery on a growing assortment of items.
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