The Dallas Morning News reports that Walmart is closing a North Dallas store and converting it to a fulfillment center for online delivery and pickup.
It will take about a year to accomplish the conversion.
The Morning News says that "both general merchandise and grocery orders will be filled from the building. Customers will be able to pick up orders, but the store will no longer be open for in-store shopping … The new set-up will take some pressure off surrounding stores that will also continue to fill online orders."
Walmart maintains a considerable footprint in the market, which is its largest - 170 Supercenters, Neighborhood Markets and Sam’s Clubs in Dallas-Fort Worth.
- KC's View:
Obviously, this is a clear recognition of how shopping patterns have changed, and a reflection of Walmart's decision, both through fulfillment centers like this one as well as micro-fulfillment facilities to be installed in some stores, to double-down on an e-commerce strategy.
I have to say that one of the things that occurred to me when I read this story was if Kroger might have considered turning the stores it is closing in Southern California and Washington because of hazard pay mandates into e-commerce fulfillment centers. They could keep the real estate, but wouldn't have any front line store employees making hazard pay during the conversion, and by the time they would be ready to open, the hazard pay mandates would have ended.