Walmart's Same-Day Pharmacy Service Disrupts Market

Walmart has launched a new same-day pharmacy delivery service in six states, aiming to expand to 49 states by January 2025, excluding only North Dakota due to state laws. This service integrates prescription medications with general merchandise deliveries, posing a competitive threat to traditional pharmacies like CVS and Walgreens, which are dealing with store closures and reduced profits amid increased competition from online pharmacies such as Amazon. Walmart's delivery service will be free for Walmart+ members and cost $9.95 for others, with a promise of delivery within 30 minutes for urgent needs. The service is expected to cover more than 86% of US households, responding to consumer demand for convenience. This strategic move is part of Walmart's broader goal to enhance its position in the health and wellness market, which accounts for about 12% of its annual US revenue. Analysts note that the announcement has already impacted the stock prices of CVS and Walgreens, highlighting the potential market disruption caused by Walmart's entry into the pharmacy delivery space.