In 1895, Luigi Lavazza opened the first Lavazza store in Turin, Italy, intent on giving his customers the perfect cup of joe. Over a century later, Lavazza serves more than 30 billion delicious cups of coffee every year and proudly remains family-owned, passed down through four generations.
With an annual revenue of $3.3 billion, choosing the right partner to help the company expand business further into the U.S. market was an important decision. Lavazza needed help reaching customers across the U.S. more easily and cost-efficiently. In 2023, after a few years selling on Walmart Marketplace, Lavazza leveraged Walmart Fulfillment Services’ (WFS’) end-to-end logistics management for the caffeine boost it needed—ramping business up to the next level.
BIG WINS1
~200%
growth in Walmart Marketplace sales since leveraging WFS
99%
On-Time Delivery rate
70%
of Walmart Marketplace GMV fulfilled through WFS
GOALS
Boost Lavazza’s exposure to U.S. consumers
Increase on-time deliveries
Reduce inventory shipping time
Drive growth by cutting down carrier costs
The Strategical Breakdown
Capitalizing on Walmart’s expansive American audience
Lavazza chose Walmart Marketplace as a partner because of the exposure the platform gave the company, making its products more easily visible and purchasable by American customers. When Lavazza decided to utilize WFS and switched from being seller-fulfilled to Walmart-fulfilled, they saw a significant boost in sales.
“We initially started sending in our top ten, fifteen products. We noticed that these products were not just overselling, but in a span of a year and a half, we were able to grow our business almost 200% from that first year.1”
-Michael Roubini, eCommerce Sales Director 3P Marketplaces, Lavazza North America
WFS allowed Lavazza to sell more coffee than before while providing the same positive shopping experience for its customers. Today, 70% of the company’s Walmart Marketplace GMV is fulfilled by WFS.
Leveraging WFS for faster deliveries
Prior to using WFS, being seller-fulfilled put a major strain on Lavazza’s logistics network. Since the switch, Lavazza has been able to maintain a 99% On-Time Delivery rate for orders—a critical benefit in the coffee industry where customers frequently run out of beans and want to replenish their supply.1
Utilizing Walmart’s Inventory Transfer Services to distribute products faster than before
In the past, having to package and send out different shipments for each of its fulfillment centers around the country cost Lavazza valuable time and effort. Now, with Inventory Transfer Services, the company is able to send all its products in one truck to one single location, saving them several hours a day.
“We initially started sending in our top ten, fifteen products. We noticed that these products were not just overselling, but in a span of a year and a half, we were able to grow our business almost 200% from that first year.1”
-eCommerce Operations Manager, Lavazza North America
Taking advantage of Walmart’s logistics network
Lavazza used to spend significant time conducting research and comparing different carriers to find the most cost-efficient one without sacrificing quality. Now, with the Preferred Carrier Program, the company can leverage Walmart’s logistics network to easily compare carriers.
“We initially started sending in our top ten, fifteen products. We noticed that these products were not just overselling, but in a span of a year and a half, we were able to grow our business almost 200% from that first year.1”
-eCommerce Operations Manager, Lavazza North America
“Since switching over to Walmart Fulfillment Services, we’ve seen efficiency go through the roof. We’ve seen on-time deliveries to our customers also increase.”
eCommerce Operations Manager
Lavazza North America
Walmart Fulfillment Services costs 15% less, on average, than most competitors.2
Key Takeaway
Take advantage of one of the world’s largest supply chain infrastructures with WFS and leave the shipping and logistics management to us. Help boost efficiency and cut costs by switching from fulfilling on your own to having us do the heavy lifting for you—leaving you time to focus on more ways to maximize your business’ success.
