Walmart opens dark stores as it tackles complicated and costly process of fulfilling online grocery orders

Walmart is opening dark stores in Dallas, TX, and Bentonville, AR.

The US retail giant is testing out whether this option will enable it to more quickly fill orders from customers who are paying extra to get items faster.

The concept of using dark stores to fulfill online grocery orders isn't new, of course; it has been in use for decades, and Walmart has been active in this space for years on a small scale. Although the retailer operates 4,650 stores in the USA, and 90% of the US population is located within ten miles of one of its stores, fulfilling online grocery orders is a complicated and costly process.

Walmart wants to test and see how much faster and cheaper it can do this in a dark store vs a retail store, utilising new technology and picking strategies. If the tests are successful, they’ll be leveraged in the retail stores.

Who knew we'd drop additional #NintendoSwitch2's online tonight. We knew. Shop yours now: https://t.co/ckxM5MnA95

— Walmart (@Walmart) June 7, 2025

“Walmart has made a lot of investments in its grocery business to speed up delivery including Walmart+, drones, and Instacart. It is also utilising automated technology in certain locations to fulfill online orders. It is investing in speed because that's what customers want,” says Brittain Ladd, a supply chain consultant and former Amazon executive.

“However, I believe Walmart has failed to understand the impact that FSD (full self-driving) cars will have on its business. Customers won't wait for Walmart to fulfill and deliver their orders. Customers will dispatch their own car (primarily Tesla cars) to pickup their grocery order and return home. Tesla owners may also pickup orders for other customers for a fee. I refer to this as the "Personal Autonomous Courier" model or PAC.”

He adds that, instead of dark stores, Amazon would be wise to open hundreds of automated micro-fulfillment centres (MFC) powered by its own ambient temperature MFC platform that was invented by Amazon Robotics. Chilled and frozen products can be hand picked or Amazon could leverage a system from Fulfil to pick chilled, fresh and frozen products.

“Like Walmart, Amazon must be prepared for the influx of FSD cars that will be dispatched by their owners to retrieve their groceries,” says Ladd. “I strongly encourage Walmart, Amazon and other grocery retailers and restaurants to partner with Tesla. I encourage Tesla (or Blue Yonder, OpenAI, Uber or Waymo) to acquire Autolane, who has created a platform for managing autonomous vehicles arriving to pickup orders”

“Fulfilling online orders is major part of the process. However, with the growth of FSD, there must be processes in place to engage with the vehicles in an organised fashion to ensure the right orders are placed inside the right cars.”

2025 RTIH INNOVATION AWARDS

Grocery delivery will be a key focus area at the 2025 RTIH Innovation Awards.

The awards, which are now open for entries, celebrate global tech innovation in a fast moving omnichannel world.

Our 2024 hall of fame entrants were revealed during an event which took place at RIBA’s 66 Portland Place HQ in Central London on 21st November, and consisted of a drinks reception, three course meal, and awards ceremony presided over by comedian Lucy Porter.

In his welcome speech, Scott Thompson, Founder and Editor, RTIH, said: “The event is now into its sixth year and what a journey it has been. The awards started life as an online only affair during the Covid outbreak, before launching as a small scale in real life event and growing year on year to the point where we’re now selling out this fine, historic venue.”

He added: “Congratulations to all of our finalists. Many submissions did not make it through to the final stage, and getting to this point is no mean feat. Checkout-free stores, automated supply chains, immersive experiences, on-demand delivery, next generation loyalty offerings, inclusive retail, green technology. We’ve got all the cool stuff covered this evening.”

“But just importantly we’ve got lots of great examples of companies taking innovative tech and making it usable in everyday operations - resulting in more efficiency and profitability in all areas.”

Congratulations to our 2024 winners, and a big thank you to our sponsors, judging panel, the legend that is Lucy Porter, and all those who attended November's gathering. 

For further information on the 2025 RTIH Innovation Awards, please fill in the below form and we will get back to you asap.