Walmart is expanding its website delivery options and will rollout the service in the test area market of Phoenix.

The new Walmart service is called NextDay, and it is set up to compete with online retail giant Amazon.com. Starting this week, Walmart will offer a wide range of general merchandise to customers that can be delivered the following day after ordering.

Besides NextDay, Walmart already offers same-day grocery delivery, same-day grocery pickup and free two-day shipping.

NextDay delivery will be available first to Walmart.com customers in Phoenix and Las Vegas, and will expand to Southern California in the coming weeks. Walmart plans to roll out the service across the country in the coming months, and has plans to be in 40 of the top 50 major U.S. metro areas.

“Our new NextDay delivery isn’t just great for customers, it also makes good business sense,” Marc Lore, president and CEO of Walmart eCommerce U.S., said in a statement. “Contrary to what you might think, it will cost us less – not more – to deliver orders the next day.”

Available items will vary by location and will be available for next day delivery without membership, as long as the total order is more than $5. NextDay delivery will offer up 220,000 items ranging from diapers and laundry detergent to toys and electronics.

NextDay will use a single fulfillment center located closest to the customer.  Lore explained that everything will come in one box and travels a shorter distance than regular online orders that may ship in multiple boxes from multiple locations.