Walmart to deliver prescriptions directly to customers in hit to sinking CVS, Walgreens

Walmart announced on Tuesday it will start delivering prescriptions straight to consumers’ doors in as little as 30 minutes – threatening to further cripple struggling pharmacies like CVS and Walgreens.The discount retailer has made its prescription delivery option available in Arkansas, Missouri, New York, Nevada, South Carolina and Wisconsin, the company said.Walmart expects the delivery option will be available in 49 states by the end of January — leaving out only North Dakota due to state laws.The delivery service is free for Walmart+ members.It will cost all other customers $9.95.Walmart hopes those needing prescriptions will also to tack on other items, like chicken noodle soup or tissues, to boost overall sales.Nearly 60% of Walmart’s annual revenue comes from its groceries division, but health and wellness is a growing category for the company.The health division accounts for about 12% of its annual revenue in the US, the company said in a filing for the fiscal year ended Jan.

31.The announcement of Walmart’s new speedy delivery system sent shares of CVS and Walgreens down 2.1% and 6.8%, respectively on Tuesday – despite both chains offering their own same-day delivery options.Walmart has a large consumer base, with coverage of more than 86% of US households, the company said.It expects the majority of its existing customers will shift over to the delivery service, according to Bloomberg.Tom Ward, Walmart’s chief e-commerce officer, told Bloomberg the company is “aware of the wider landscape.” Walmart will be able to leverage its fast delivery times and large network of stores with the new prescription service, Ward said.Walmart said the delivery option is a response to customer demand.More than half of Walmart customers expressed a desire to have their prescriptions delivered along with their groceries in a single online order, according to a recent Walmart survey.The discount chain has been able to attract inflation-battered customers....