BENTONVILLE, AR - Walmart is reportedly the next to dive into meal kit offerings just in time for the holidays, looking to launch its own services in the category via its website in December.
Michael McDevitt, the CEO of Baltimore, MD-based meal kit company Terra's Kitchen, told TheStreet the retail giant is looking to offer an array of meal kits from different companies online.
"This is a low-risk model for Walmart to see if their e-commerce shoppers will have an interest in meal kits, and if so, which ones are the most interesting to them," the source told TheStreet. "There's no infrastructure risk, no marketing risk."
The news breaks not long after Albertsons’ acquisition of meal kit company Plated for $200 million.
Now valued at more than $2 billion, Walmart’s foray into the meal kit market would be that of a portal for meal kit companies to sell through, paying a referral fee to the retailer for catering their products to the consumers, according to the report.
While Walmart declined to comment to TheStreet at the time of the report, and McDevitt said he has not yet decided to join the program, he told the source Walmart is a very attractive retailer.
The new venture is the latest in a slew of big moves for Walmart, who recently entered a technology-driven delivery partnership with smart-lock company August Home and is also looking to build a new, more cyber-conducive home office in its hometown of Bentonville, AR.
As more develops in this expanding branch of the industry, and with retailers looking to broaden their portfolios, AndNowUKnow will continue to report.
