Walmart's Newest Features Ensuring Prices Cannot Be Beat
By Megan Williams, contributing writer
In an effort to dominate the retail world and undercut bricks-and-mortar competitors, the world’s largest retailer, Walmart, is launching new programs, tools, sales, and policies that may give rivals something to worry about.
After development of 2011 in-store price matching strategy (ConsumerReports.org), Walmart is now going the extra mile in eliminating the need for customers to open up Sunday retail ads. New online tool, “Savings Catcher” does exactly that for Walmart shoppers, automatically comparing prices on more than 80,000 food and household products to those of its brick-and-mortar competitors. With most of sales occurring in-store at Walmart, the program does not price match with ecommerce retailers. The program only compares prices on grocery and household items, excluding store brands, clothing and electronics.
Customers set up an account, log into “Savings Catcher,” type in their Walmart receipt number and sit back while Walmart compares prices to that of local retailers. When an item is found cheaper at another store, Walmart pays customers back the difference in store credit form. Prices are matched to stores within the customer’s geographical range, stores including Aldi’s, Target, Dollar General, CVS, K-Mart. (Walmart Corp) “Technology is becoming such an important part of our customers’ shopping experiences — they’re checking prices online while they are in our stores. So, we’re meeting them where they are, making it easier and faster to get unbeatable prices on the items they want,” said Paul Hatch, director of brand strategy at Walmart. (Walmart Blog) (Twin Cities)
This past week, Walmart began issuing out store credit in exchange for used video games. Customers can trade in games from popular consoles such as PlayStation and X-box and use store credit at Walmart or Sam’s Club. "Gaming continues to be an important business for us and we're actively taking aim at the $2 billion pre-owned videogame opportunity," noted Duncan Mac Naughton, chief merchandising and marketing officer for Walmart U.S. (Reuters) With Walmart having a broad range of merchandise to trade games in for, this poses major competition to gaming retailers including, Best Buy, Target, and GameStop.
Rival dollar stores including, Dollar General, Dollar Tree and Family Dollar are now facing competition since Walmart announced they plan to open 300 smaller convenience stores by the end of 2014, doubling from intended 150 after positive fourth quarter sale results of smaller “fill-in” Walmart Express Stores were up by 4 percent for the fiscal year. Walmart plans to expand the smaller hybrid stores to strip malls and downtown areas, neighboring alongside dollar store competitors. “One of the unique aspects of the store is all the items are priced at Walmart everyday low prices” said Deisha Barnett, senior director of corporate communications. (Arkansas Business ) The Express stores will sell items that competitors do not provide including, gas, pharmacy and fresh food selections. (The Motley Fool) (Time) (Wall Street Cheat Sheet)
Customer Expectations Keep Evolving, And Digital Watermarks Will Help Retailers Keep Up