Lookout, Amazon (AMZN) , same-day delivery services for struggling bricks-and-mortar retailers are going from test phase to full-scale operations.
Department store retailer Kohl's (KSS) has recently expanded its same-day delivery service to the Atlanta, Dallas, Houston, Los Angeles, Miami, Seattle and Washington, D.C./Baltimore markets, a spokeswoman confirmed via email to TheStreet. The service is in partnership with Deliv, which uses an independent network of couriers to pick up merchandise from stores and deliver it to customers.
For purchases at Kohl's that tally up to $74.99, same-day delivery will set a person back an extra $14.95, with the service costing $9.95 on orders above $75. Orders placed with Kohl's before 1 p.m. are delivered by 8 p.m.
Back in October, Kohl's expanded its same-day delivery option to the Boston, Brooklyn/Queens, Los Angeles, Miami, Northern New Jersey and Philadelphia markets from a pilot program that began in September in San Francisco, the Bay Area and Chicago.
Kohl's could certainly use the sales boost derived from more quickly meeting customer demands for clothes, shoes and home goods. The retailer's same-store sales rose a meager 0.7% last year, while net profits excluding one-time items fell 10%, to $781 million.
Meanwhile, electronics giant Best Buy (BBY) announced last week that it has expanded a same-day delivery pilot program that launched last fall in San Francisco to 13 U.S. markets. Like Kohl's, the partnership is with Deliv.
Best Buy added New York City to the program earlier this year, then rolled it out to the 11 other markets the service operates in: Atlanta, Boston, Chicago, Dallas, Houston, Las Vegas, Los Angeles, Miami, Philadelphia, Seattle and Washington, D.C.
Best Buy also felt the heat from the online juggernaut Amazon last year, as same-store sales in the U.S. rose a paltry 0.5% after gaining 1% in 2014.
Amazon isn't exactly idling while its store-owning rivals become more tech savvy in the hopes of drumming up better sales.
Amazon recently announced it has almost doubled the number of U.S. metro areas that qualify to receive free same-day delivery on orders placed through its Amazon Prime service, which only costs $99 a year. For frequent online shoppers, it may be more cost effective to sign up for Amazon Prime to get free same-day delivery than to utilize a Deliv in concert with Kohl's, Best Buy and Macy's, which costs a pretty penny each time it's used.