Interesting analysis from Pymnts about how Walmart+ Week, which competed directly against Amazon's Prime Days, demonstrated the company's digital strengths and weaknesses.
The strengths, apparently, were in grocery:
"Walmart+ Week shoppers spent nearly twice as much as Amazon Prime shoppers on the strength of groceries and exclusives. We found that more than half of Walmart+ Week shoppers bought groceries during the event, or at least twice as many as the Amazon Prime members who did the same.
"On average, Amazon Prime subscribers reported spending $126 during the event, while Walmart shoppers said they spent, on average, $200 during Walmart+ Week. This resulted in a total spending of $12.7 billion for Amazon Prime Day and an estimated $10.5 billion for Walmart+ Week.
"Walmart’s higher per-customer spend is largely an effect of grocery shoppers who happened to be in stores on deal days and bought more, though many didn’t go knowing the event was on."
The weaknesses could be traced to how comparatively few Walmart+ members took advantage of the promotion: "Participation in Amazon Prime Days increased from 38% last year to 46% in July 2023, further supporting two notions: that Amazon Prime Days draw bigger crowds as consumers expect more deals on a larger assortment; and that Walmart+ Week needs more effective marketing. We found that over four in 10 (43%) consumers did not participate in Walmart+ Week simply because they weren’t aware it was happening."
The fact that "twice as many Amazon Prime members made purchases during Prime Day than Walmart shoppers did during Walmart+ Week" illustrates that there is a "digital blind spot still haunting Walmart+ three years after launch," Pymnts writes.
- KC's View:
Slow and steady wins the race.
Walmart continues to grow its digital footprint at what appears to be a slow and steady pace - not making the headlines that Amazon does, but also not attracting the slings and arrows of the markets for overpromising and over-investing. And its apparent strength in grocery is something that Amazon yearns to achieve.
These all are building blocks, and Walmart appears to be putting them in the right places and in the right order.