The Rise of Amazon’s Biggest Competitor: Walmart

Walmart is rising to meet the unprecedented challenges that 2020 has thrown its way with flying colors. Kassie Cossette breaks down the major changes that Walmart is making in order to meet the rising needs that this year has brought on.

Popping by Walmart or a quick run to Target to grab dinner has nearly become a thing of the past in the last six months. With the unprecedented changes we’ve faced as a society, Walmart and the grocery delivery business have shifted into something almost unrecognizable in the past 26 weeks. With no less than 12 significant announcements in innovative rollouts and responses, Walmart has been at the helm of changing the way major corporations can adapt.

$3.5 billion investment for growth, Walmart is making themselves one of the top competitors in the online grocery market.

With the industry’s rapid-fire shifts, our Digital Commerce teams have been keeping pace. From the expansive changes Walmart has made on an omnichannel level since February 2020 to the more recent announcement of a $3.5 billion investment for growth, Walmart is making themselves one of the top competitors in the online grocery market.

These changes emphasize that companies, now more than ever, need a partner that not only understands but is genuinely connected to the industry and can help them anticipate, adapt, and thrive from a dotcom perspective. Combined with the major rollouts that have been dominating the news, Walmart has been working to update style guides across all categories. If your team hasn’t been pushing hard to update content, new attributions, and imagery guidelines, you may be left behind. Our team anticipates that many of the new attributions required by vendors will be necessary for Walmart’s AI (artificial intelligence) algorithms in choosing what items to push for Express Delivery, Walmart+, etc. Not only is the content of Walmart being updated to make online shopping easier, but due to Walmart’s partnership with Shopify, they’ve self-reported a growth of more than 5,000 vendors coming to Walmart’s marketplace. With this surge in new vendors, the importance of being top of search and combating Third Party Vendors who may be undercutting your brand has never more important.

Working with a partner who can help navigate and execute end-to-end services is imperative to a company’s success with Walmart, both on and offline.  While it’s difficult to pinpoint exactly what the upcoming weeks and months will bring as a whole, our team has been successful at supporting companies and helping them pivot along the way.

For a full review of what’s been happening this year so far, see Sage Tree’s list of Walmart’s best moves since February 2020:

February — Walmart announces $30 medical checkups without insurance and $25 dental exams in Georgia

March — Sam’s Club announces concierge ordering for seniors and at-risk populations

March —  Walmart speed rushes into service contactless payments through the Walmart Pay mobile app

April — Walmart announces two-hour line express delivery services 

April — Walmart partners with Nextdoor on a new “neighbors helping neighbors” initiative to make online delivery and order pickup services more available to more people

April — Walmart reaffirms its commitment to allow families to use SNAP benefits (aka food stamps) online via order pickup and also its role in the continued expansion of online SNAP delivery pilots throughout the country

May — Walmart forms a new partnership with online reseller ThredUp, in which ThredUp merchandise can be returned to Walmart stores

June — Walmart creates another new partnership with Shopify, whereby Shopify products sold on Walmart’s third-party marketplace can also again be returned to Walmart stores

June — Walmart debuts a new self-checkout store in Fayetteville

July — Walmart unveils virtual summer camps online, coming off the success of its holiday Toy Lab for the past two years

July — Walmart announces plans to convert 160 parking lots into drive-in movie theaters

August – Walmart announces massive layoffs and reorganization to encapsulate eCommerce under the brick and mortar teams, creating an omnichannel approach for brands

August – Walmart partners with Instacart to pilot same-day delivery services, becoming the last major retailer to partner with the popular last-mile delivery service

September – Walmart launches Walmart+ as a direct competitor to Amazon Prime

 

 

Read More:

How Amazon is Rising to the Challenge of Contactless Shopping

What To Do When Your Brand is Challenged by Unauthorized Sellers

6 Tips for Managing your Amazon Supply Chain During Major World Events

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