Report: DoorDash and Walmart Are Ending Their Partnership

DoorDash has reportedly decided to stop delivering orders for Walmart. Insider reports[1] that DoorDash informed Walmart of its plans to end their partnership so it could focus on “its long-term customer relationships” in a letter sent to the retailer earlier this month. That’s a curious reason for DoorDash to stop doing business with Walmart.

The delivery company was founded in 2013, and the Walmart partnership was announced[2] in 2018, which means the companies have been working together for nearly half of DoorDash’s existence. Deloitte said[3] in its “Global Powers of Retailing 2022” report that Walmart remains the largest retailer in the world, too, so it’s not like DoorDash is breaking things off with a minor partner. It seems more likely that Walmart’s efforts to expand its own delivery services–including additional tests of delivery by drone[4], the growth of Walmart’s delivery fleet[5], and the continued push for in-home deliveries[6]–make it more of a competitor to DoorDash than a partner.

“We’d like to thank Walmart for their partnership,” DoorDash said in a statement to PCMag, “and are looking forward to continuing to build and provide support for merchants in the years ahead with our leading Marketplace and Platform offerings.”

References

  1. ^ reports (www.businessinsider.com)
  2. ^ announced (corporate.walmart.com)
  3. ^ said (www2.deloitte.com)
  4. ^ delivery by drone (uk.pcmag.com)
  5. ^ Walmart’s delivery fleet (uk.pcmag.com)
  6. ^ in-home deliveries (uk.pcmag.com)