Wal-Mart
(WMT) is a largest retail store that is part of the
S&P 500and Dow Jones 30 indices.
It is registered as WMT in the Stock
Exchange of New York. The founder of the company was Sam Walton who’s headquartered
is in Bentonville, Arkansas. Wal-Mart has 11,137 locations around the world.
The products of Wal-Mart include Apparel/footwear specialty, cash and
carry/warehouse club, discount store, hypermarket/supercenter/superstore, and
supermarket. It is currently owned by
Walton family having total number of employees of 2.2 million. Wal-Mart is considered
as part of the Top 50 list of World’s Most Valuable Companies.
Wal-Mart
may have the low prices and the biggest retailer
in the world, but it is not a cool place to shop. Despite of being
uncool, Wal-Mart has managed to maintain its position in the world as online
retailing. According to the Wal-Mart stores CEO “the sales of Global E Commerce
has surpassed the $10 billion mark, an increase by 30% over last year. “ Our
local global business is focusing more on customers and serving them according
to their wants and needs. Wal-Mart sold exactly as much as online Apple but they
did in a very cutting-edge style.
The online sales of Wal-Mart
is equal to the Apple’s App store which includes the retail sales through
Apple.com and iTunes sales but the App store has an impressive footprint as it
includes iPods, ipads and iPhones.
Wal-Mart and Apple
are competitors but the fact is that Apple is a leading seller of the digital
music in its iTunes store whereas Wal-Mart focuses on the audiences that prefer
physical CDs and DVDs.
Amazon increasingly grows its sales from outside its comfort zone
of books; however the main competitive advantage of Amazon is its price whereas
Wal-Mart certainly has the buying power to compete and possesses other
advantages too.
Wal-Mart has the advantage of the physical location that can
be used to develop its digital brand. In order to do that, the plan of the
company is to use technology that can improve the in-store shopping experience.
The company is using both platforms that support each other as around 140
million people visit Wal-Mart store each week.
It is reported that greater than 50% of the customers of
Wal-Mart owns the smartphones and also the number of customers has tripled over
the last year that go to Walmart.com through their mobile devices, such huge
customer base would help the Wal-Mart to catch up with Amazon online.
Huge Retail audience of
Wal-Mart were likely not
internet easy adopters as people in worldwide who have an access to an internet
and the numbers who are comfortable with online purchasing has increases that
ultimately benefitted Wal-Mart.
Wal-Mart can compete with Amazon on price as it would be able
to get support from its physical location to register the customers for the
websites. Wal-Mart universal presence and its total volume of stores joined
with its low price often gain its customers who prefer to buy things from
elsewhere.
Amazon may be the big online boy, but Wal-Mart has the
ability to draw the lines between in-store and online shopping that will
advantage the company to gain continuously on Amazon.
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