Walmart is piloting a new type of store concept called “dark stores,” which are designed exclusively for fulfilling online orders and are not open to the public. These stores, which look like typical Walmart locations on the inside, have no public signage or customer-facing features.
The first of these experimental locations has opened in Dallas, Texas. According to sources familiar with the initiative, the stores stock many of the most popular products that are frequently ordered online, streamlining the fulfillment process and helping Walmart keep up with increasing e-commerce demand.
Walmart Expands Dark Stores to Boost Delivery Speed and Streamline Online Order Fulfillment
A second dark store is in development in Bentonville, Arkansas, where Walmart’s headquarters are located. This strategic location suggests the company is closely monitoring and fine-tuning the model.
Walmart is treating these dark stores as miniature distribution centers aimed at meeting the growing demand from online shoppers who expect faster delivery times, especially those who opt for premium delivery services. Local news outlets and business insiders have confirmed the project, reflecting the company’s increasing focus on improving logistics and efficiency through innovation.
Walmart Tests ‘Dark Stores’ in Dallas to Accelerate Online Orders and Challenge Amazon’s Delivery DominanceWalmart emphasized that the testing of dark stores is part of its broader commitment to enhancing customer service across all shopping channels. In a public statement, the company reiterated its goal to provide a seamless and efficient shopping experience, whether in-store or online. These fulfillment-focused stores are another step in Walmart’s digital transformation, as it adapts to changing consumer preferences and attempts to compete more directly with Amazon’s extensive logistics network.
Walmart+ Expansion and Tech Investments Strengthen Retail Giant’s Competitive Edge Against Amazon Prime
To further compete with Amazon Prime, Walmart launched its Walmart+ subscription service in 2020. This service offers unlimited free delivery on orders over $35 and comes with a monthly fee of $12.95 or an annual fee of $98. A discounted rate is available for government assistance recipients.
Despite Amazon Prime’s substantial head start and massive user base – estimated at over 186 million U.S. members – Walmart+ is growing steadily, with approximately 34.7 million users as of 2024, up from 26.5 million in 2022.
Beyond dark stores, Walmart is investing heavily in technology to support both store operations and customer interactions. On June 24, the company launched new AI tools designed to help employees with real-time multilingual translations and item location through augmented reality.
Additionally, Walmart is expanding its drone delivery service to five more major U.S. cities. These innovations underscore Walmart’s commitment to combining logistics improvements with advanced technology to boost operational efficiency and improve the customer experience.
