Walmart Plus launches, here's how it compares to Amazon Prime
The new program adds unlimited free delivery including on groceries.
Amazon Prime has a new competitor now: Walmart's newly launched membership program and delivery service.
Customers can sign up Tuesday for Walmart+. The program combines Walmart's in-store and online benefits for $98 a year or $12.95 a month and has a 15-day trial period. The membership is slightly cheaper than Amazon Prime which costs $119 yearly or $12.99 monthly.
Walmart+ offers customers unlimited free delivery from stores on over 160,000 products, including groceries.
In-store benefits include letting customers check out using the Walmart app so there's no more waiting in line.
Members also receive discounts on gasoline.
"Fill up and save up to 5 cents a gallon at nearly 2,000 Walmart, Murphy USA and Murphy Express fuel stations. Sam’s Club fuel stations will soon be added to this lineup," Walmart said in a press release.
Hitha Herzog, a research analyst and chief research officer at H Squared Research, told ABC News that the new competition isn't an immediate threat to Amazon.
"Amazon shouldn't be worried right now that Walmart+ and that app is going to take over market share," Herzog said. "But the growth rate of Walmart's e-commerce is moving at such a rapid rate, they should be scared for the near future -- in the next couple of years."
Choosing which service is better depends on a customer's personal needs.
"Walmart+ may be more beneficial for you if you're someone that goes to Walmart for groceries," Herzog noted. "With Amazon Prime you're going to be able to have access to their Amazon Prime Day and probably get discounts earlier than most. And you're also going to be able to have Amazon be your one stop shop. Amazon also offers Prime for business."
Walmart+ is available in 4,700 stores, including 2,700 stores that offer same-day delivery.
"In the future, the company will leverage its wide-ranging strengths to add additional benefits for members in a variety of services and offerings," Walmart said in the release about the new program.
The new benefits add to the retailer’s existing customer offerings like free curbside pickup, NextDay delivery and two-day delivery.
Walmart+ is currently only available in select areas and interested customers can check if their address is within the delivery area on the Walmart+ website.
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