Walmart to Offer Quick Prescription Delivery

(Reuters) – U.S. retailer Walmart (NYSE:WMT) announced on Tuesday that it will begin delivering prescription medicines and medication refills alongside groceries and other items in a single order within 30 minutes, intensifying its delivery competition with Amazon (NASDAQ:AMZN) Inc.

This initiative follows Amazon’s recent announcement about opening pharmacies that offer same-day delivery across 20 new U.S. cities by 2025. Walmart's service is an expansion of its earlier mail-order prescription options, which typically took five to seven business days.

Walmart's new, faster prescription delivery service will also compete with same-day offerings from other retailers like CVS Health (NYSE:CVS) and Walgreens. Currently operating 4,600 U.S. pharmacies and 3,000 vision centers nationwide, Walmart revealed that this pharmacy delivery service will be complimentary for members of its $98-per-year Walmart Plus membership program. Non-members will incur a fee of $9.95.

The service is expected to be accessible to customers in 49 states by the end of January next year. At present, customers in six states—Arkansas, Missouri, New York, Nevada, South Carolina, and Wisconsin—can utilize this service.

Walmart has launched this delivery initiative based on internal consumer research indicating that over half of respondents wanted to have prescription medications delivered alongside their groceries and other items in one order.

The company plans to rely on drivers from its Spark Driver gig-delivery network for some speedy deliveries. Additionally, Walmart may employ other methods, including drones, for 30-minute deliveries.

All medications are eligible for delivery except controlled substances, refrigerated items, and Medicare Part B products such as wheelchairs and oxygen containers.

During the ordering process through Walmart's app or website, customers must accept terms permitting Walmart pharmacy staff to contact their physicians and provide phone counseling. The delivery timeframe commences only after prescriptions are authorized by a customer's physician. Once approved, customers can add medications to their cart and select from same-day, on-demand, or express delivery options.

This new prescription delivery service marks Walmart's latest venture to enhance its pharmacy network, following the closure of 51 health clinics and its virtual healthcare operations in April.