lowe’s Launch of drone delivery service in partnership with door dash and alphabet‘s Wings, CNBC has learned exclusively.
The company said its new drone delivery service, a first in the home improvement retail industry, will give customers access to more than 100 products in delivery windows as short as 20 minutes. A pilot program is already underway in North Carolina, with plans to expand.
Customers can order products directly through DoorDash, and eligible customers will see drone delivery as an option. The company says its drones currently transport approximately 2.5 pounds of orders per flight and operate within a five-mile radius of its store in Matthews, North Carolina.
Seemantini Godbole, chief information and artificial intelligence officer at Lowe’s, said shoppers often tell the company midway through a project that they realize they’re missing an important item.
“Drone delivery was a perfect fit because this was one of the friction points, like when you’re working on a project and there are interruptions,” Godbole said. “[But]you never left the house, you never left the office, and you just kept working on the project. That’s the whole premise.”
He said the company is still testing the service, but if successful, Lowe’s could expand the drone program beyond its North Carolina stores.
“We wanted to have a technical team in place. … We literally go into the store every day,” she said. “We’re watching. We’re listening to feedback from our associates and DoorDash. That way we can make changes as needed and we’ve been very nimble. That’s why we started here.”
Godbole added that drone delivery is not “technology for technology’s sake,” but rather a move to address the changing needs of Lowe’s customers as part of the company’s overall technology strategy.
With this announcement, Lowe’s joins a growing number of retailers adding drone delivery to their options to optimize customer convenience and technology to increase sales. Amazon, walmart and Uber Eats is already using drones to provide faster deliveries to customers.
Godbole said Lowe’s is unique in that it is the first home improvement store to offer drone delivery.
But drone technology has also faced criticism from people around the country, particularly in New Jersey, who are concerned about noise and privacy issues. Regulatory approval is also required to navigate more congested airspace.
Godbole said Lowe’s is working to ensure its drones meet all standards and is relying on the expertise of both DoorDash and Wing.
Godbole said that while the drones are an important milestone in the company’s technological advancement, Lowe’s remains focused on improving same-day delivery and innovation for shoppers, while also incorporating AI into internal processes for store associates.
“When employees and customers interact with Lowe’s, I really want the technology to disappear, and I want the experience to shine,” Godball said. “I want to remind them of the projects they’re working on, the items they’re purchasing, the fulfillment they’re getting, and all of our technology efforts.”
