Walmart Prepares to Take Amazon to the Mattresses with Faster Shipping Options
March 27, 2013 9:22 AM
comment(s) - last by
Walmart hopes to out Amazon, Amazon
Walmart has been putting a significant beating on many smaller retailers in the United States for years due to lower prices. Brick and mortar retailers are also feeling increasing pressure as more consumers signup for Amazon Prime, which offers free two-day shipping of products (often “tax free”) plus the added bonus of free TV show/movie streaming. Walmart may be the biggest retailer in the world, but it too is feeling the heat from Amazon.
Walmart may be the king of retail sales, but it is very far behind Amazon when it comes to online sales.
reports that last year Amazon racked up $61 billion in online sales. Walmart only expects to crack about $9 billion in annual online sales as of this year.
Walmart recently announced that it would start using it stores to get internet orders to its customers faster. Walmart noted that it would begin testing lockers to hold goods ordered on the internet in stores until shoppers pick them up. Exactly when this test will kickoff is unknown; Walmart only says "soon." Amazon is also using lockers in grocery stores, convenience stores, drugstores to hold purchases for consumers when the consumer doesn't want an order to come to their home.
Walmart will also begin testing other services to make online shopping via its website easier and more appealing to consumers. One service will allow shoppers to pay for online orders in the store with cash rather than paying online with a credit card.
In addition, Walmart is planning an expansion of a currently running test to ship online orders from physical stores. The company hopes to expand this test to about 50 locations. The goal is to use stores that are closer to customers offer same-day delivery and next-day delivery of online orders at a low cost. Considering that two-thirds of the U.S. population lives within 5 miles of Walmart store, this could prove to be a very important plan for Walmart.
Amazon is also testing a
same-day delivery service
in some locations.
This article is over a month old, voting and posting comments is disabled
RE: Wal-Mart can't win
3/28/2013 2:02:44 PM
Why do people not
to what others say?
I did not claim I would indiscriminately purchase from the company with the lowest price. I said, "I'm supporting whoever has the product I want, at the price I'm willing to pay." The product I want. The price I'm willing to pay.
The "product" isn't limited to simply the physical good, or to a generic physical good that meets some criteria. The product includes both the physical good as well as anything else that might be important to me in the context of a purchase. That might be product quality, shopping experience, distance/time from me to the store, store hours/availability, taxation, who owns the company, past experiences, etc. And then we add in price. (Arguably, you could say the latter items listed are all "costs" and should be part of the "price" not the "product" - but it's 6 one way 1/2 dozen the other.)
WalMart's cheap, but I hate shopping there. I don't give a damn that they sell products made outside the US; the shopping experience is far too unpleasant for me. So if I can easily avoid shopping there, I will. And I'm very much willing to support Amazon's business because it adds value to me. But if I need a 9V battery for my multimeter for a project today, I'll make a 5 minute trip to Wal-Mart and not think twice about it.
The product I want, at the price I'm willing to pay. It's a value judgement, each and every time. If you want to never shop at Wal-Mart, good for you. But you're not on some moral high ground above the rest of us.
"We don't know how to make a $500 computer that's not a piece of junk." -- Apple CEO Steve Jobs
Amazon to Offer Same-Day Delivery, Could Pummel Brick-and-Mortar Retailers
July 12, 2012, 12:33 PM
FCC Orders Advertisers to Cut Out That Racket, Turn Down Commercials
August 29, 2014, 12:49 PM
Dropbox Bows to Competitive Pressure, Provides 1TB of Storage for $10/Month
August 27, 2014, 11:17 AM
Amazon Acquires Twitch for $970 Million
August 25, 2014, 4:37 PM
Facebook Adds Satire Tags to Its Auto-Generated "Related News" Posts
August 18, 2014, 10:43 AM
Comcast, TWC Pull Dinner Gift for FCC Commissioner... Sort Of
August 15, 2014, 1:10 PM
Comcast Accused of Wooing FCC Commissioner w/ $110K Dinner
August 13, 2014, 8:20 PM
Most Popular Articles
Microsoft's Surface 2 Tablet Family Gets a $100 Price Cut
August 25, 2014, 1:16 AM
Owner of "Decepticon" Maserati Ordered to Appear in Court This Thursday
August 25, 2014, 7:55 AM
LG Posts Teaser Video of Its “Round Face” G Watch R Smartwatch, Set for IFA Lauch
August 24, 2014, 2:49 PM
Windows 9: "Upgrade Now" Button Coming for Enterprise Updates, ARM Preview in H1 2015
August 26, 2014, 8:00 PM
Second ZMapp-Treated Patient Dies of Ebola, Supplies Run Out
August 25, 2014, 7:03 PM
Latest Blog Posts
Space Terrorism is a Looming Threat For the United States
Apr 23, 2014, 7:47 PM
Facebook Aims to Provide Internet to "Every Person in the World" with Drones, Satellites
Apr 1, 2014, 10:20 AM
Retail Mobile Sites Experience Outages in Light of Simplexity's Bankruptcy
Mar 14, 2014, 8:48 AM
Tesla vs. BMW: Who Has the Safer EV?
Feb 1, 2014, 2:56 PM
Justice Leaks Details of Next HTC One Two Flagship Phone
Dec 5, 2013, 4:04 PM
More Blog Posts
Copyright 2014 DailyTech LLC. -
Terms, Conditions & Privacy Information