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The Supply Side: Walmart using ‘pop-up’ option to meet online holiday demand

Walmart is using “pop-up” e-commerce distribution centers (eDCs) to fill online orders to meet higher holiday demand.

BENTONVILLE, Ark — Walmart is using “pop-up” e-commerce distribution centers (eDCs) to fill online orders to meet higher holiday demand. The pop-up space will be inside 42 of the company’s regional distribution centers that typically ship pallets of goods to stores, which is very different from the single packages disbursed directly to consumers ordering online.

PricewaterhouseCoopers recently reported 55% of consumers it surveyed are concerned about COVID-19 this holiday season, and 65% are afraid of catching the virus while shopping. The International Council of Shopping Centers estimates e-commerce sales will jump 25% this year amid COVID-19 concerns. That is notable, given e-commerce sales grew 13% last holiday season to $137.6 billion.

Walmart already has seen a huge jump in e-commerce sales during its second and third quarters, up 97% and 79%, respectively, from the prior-year periods.

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