Walmart has opened at least three depot facilities in Dallas, New Jersey and Arkansas by converting vacant 20,000 ft² retail spaces into compact stockrooms branded Walmart Depots. Access is restricted to gig workers via the Spark driver app, and additional sites are under consideration in California, New York, Florida, Nevada, the Pacific Northwest and Virginia, often repurposing former Rite Aid or Walgreens outlets under short-term leases.

The depots aim to alleviate processing delays inside large Supercenters by housing frequently purchased household goods closer to customers, supplementing Walmart’s network of 4,600 US stores that currently reaches 95% of the country within a three-hour delivery window. Walmart’s US e-commerce operation generates $100 billion in annual revenue and is growing over 20% year-over-year.

As part of a broader simplification of its operating structure, Walmart plans to cut or relocate approximately 1,000 corporate positions to streamline decision-making and focus on a tech-driven growth strategy. The job moves are aimed at reducing overhead and reallocating resources to high-priority innovation and digital initiatives.

Earlier this month, Walmart introduced AI features for its beauty category to enhance online and in-store product discovery, reflecting a wider industry trend toward personalized digital assistance. These new tools complement the depot pilot by improving customer engagement and driving additional e-commerce sales.