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Home Depot, Walmart Take On Amazon’s E-Commerce

For big box retailers Home Depot and Walmart, the pressure to compete against  Amazon is huge. One way brick-and-mortar businesses are stepping up against the e-commerce giant is by using physical stores to their advantage.

Using Physical Stores to Compete Against E-Commerce Leaders

Home Depot and Walmart are using their brick and mortar stores to pack and ship online orders, according to Business Insider.

Amazon processes and ships online orders out of 108 fulfillment centers across the U.S. Yet Walmart utilizes many more pack-and-ship locations. It has five large distribution centers, 100 small e-commerce facilities and 80 retail stores to manage online orders.

Similarly, Home Depot is using its stores for its new program “BODFS” or “buy online and deliver from store,” Home Depot CEO Craig Menear told Business Insider.

Through the BODFS program, customers can have orders delivered from their local Home Depot store, which shortens their waiting time. Currently available in 700 stores, it will be available in all locations by the end of the year.

Regardless of using physical stores, Walmart and Home Depot still trail behind Amazon in terms of overall online revenue.

While Amazon’s online sales were $107 billion in 2015, Walmart’s online sales were $13.7 billion. Home Depot doesn’t break out sales for e-commerce, but online sales made up 5.6 percent of its $26.5 billion in second-quarter sales, according to Business Insider.

About Renee Changnon

Renee Changnon
Renee Changnon is the retail outreach coordinator for NRHA. She meets with retailers in their stores and at industry events and introduces them to the services NRHA provides. Renee previously worked as a member of the NRHA communications team. She earned a degree in visual journalism from Illinois State University, where she served as the features editor for the school newspaper. After college, she implemented marketing and promotions initiatives at Jimmy John’s franchise locations across the country. She enjoys exploring books with her book club, Netflix marathons and hosting goat yoga at her apartment complex. Renee Changnon 317-275-9442 rchangnon@nrha.org

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