Walmart makes last-mile delivery acquisition in NYC

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Wal-Mart Stores Inc (NYSE:WMT) continues to focus on fast shipping times for its growing variety of items, this week acquiring delivery startup Parcel.

Parcel will continue to serve those clients, but Walmart will also utilize the startup's technology and network of delivery employees to ramp up its own same-day delivery offerings for both and in New York City. Walmart will now be able to tap into Parcel'shomegrownn familiarity with the market. It started with, which Walmart bought for $3.3 billion.

"New York City is the top market for both Jet and, and because of the density of the area - along with the proximity of our fulfillment centers - it's the ideal place for high-impact innovation", Nate Faust, senior vice president for the retailer's e-commerce supply chain, said in a post on the company blog.

In a sign of the intensifying battle for New York's online shoppers, Wal-Mart Stores Inc. acquired Parcel, a company specializing in same-day deliveries of groceries and meal kits.

Faust said NY, where Parcel is based, is the top market for both Jet and due to the density of the population. For residents without a doorman, the process of accepting packages when not at home can be hard.

Kaplan's idea was to have shipments delivered to Parcel's warehouse.

The UK's manufacturing sector was weaker than expected in September
Weak demand contributed to reduced new business and only a fractional expansion in output. Latest price data showed another round of input cost rises in September.

The deal comes as Walmart's been looking to streamline its shipping operation to compete with Amazon's hyper-convenient service.

Faust said that NY is a top destination for and, so Parcel, with its experience in the city, provides an opportunity.

Parcel will add to Walmart's ability to deliver to high-density cities, which the company considers a "top market" according to a news release.

This year, Walmart acquired online men's clothing brand Bonobos for $310 million, and indie and vintage women's clothing brand ModCloth for an estimated $50 million to 75 million.

In addition to its workforce, Parcel operates an in-house fleet of leased and rented vehicles to manage delivery needs.