Walmart+ poised to challenge Amazon Prime

Walmart will launch a membership program that offers free same-day delivery as it takes on e-commerce behemoth Amazon.

Dubbed Walmart+, the service starts September 15, charging $98 annually or $12.95 a month.

On top of free delivery, Walmart+ will also provide discounts on fuel and other features, such as the "scan and go" that lets consumers pay for items through a smartphone application.

Walmart+ will compete with Amazon Prime, which offers free delivery within two days and has a comparably-priced subscription.

Amazon Prime also provides free and premium-priced video and entertainment offerings.

Walmart+ replaces the company's "Delivery Unlimited" service that provides home delivery of over 160,000 items.

According to Walmart chief customer officer Janey Whiteside, Walmart+ is designed to give customers an option not to have to sacrifice on cost or convenience.

She added that from being champions in providing the right item at the right price, Walmart now also provides the right shopping solutions at the right time.

Walmart's successful acquisition of TikTok with Microsoft would provide the company with a marketing platform with younger internet-reliant shoppers who are generally not big Walmart consumers.

Analysts see a potential gold mine of younger users' data would help Walmart compete with Amazon.