Retail behemoth Walmart is dominating the online grocery pickup and delivery market, according to a new study.
Walmart had 62% more customers in June than its nearest competitor, Instacart, according to Second Measure.
“When Americans think of grocery pickup and delivery services, they often think of gig-economy upstarts like Instacart or Shipt,” according to the report. “These companies are popular and growing, but neither is No. 1 when it comes to online supermarket shopping. In fact, it’s a long-established retailer wearing that crown: Walmart Grocery.”
Walmart rival Target purchased grocery delivery company Shipt in 2017, and Shipt’s customers have increased by 69% since then, according to Second Measure.
There was much hand wringing over the December 2018 announcement that Amazon-owned Whole Foods Market would cut ties with longtime delivery partner, Instacart. Whole Foods was one of Instacart’s first and, at one time, largest partners. But, today, Instacart reportedly delivers for 20,000 stores in the U.S. and Canada and claims Whole Foods was responsible for just 5% of recent sales, according to Second Measure.
When the relationship finally ended in May 2019, Instacart barely noticed. In fact, the company had 23% more customers in June than it had when it announced the breakup in December.