Walmart's Holiday Plans Shows ... There Will Be Blood

Walmart, not satisfied with only one Black Friday event, is holding two. And with it, it raises the question to me -- is Walmart executing Amazon's strategy better than Amazon itself? And by that I mean -- your margin is their opportunity. And while the world is speaking about potential rumored Amazon layoffs, better to speak about what Walmart is actually doing.

What are Walmart's key strategies and events planned for the holidays?

Here's what's planned:

  • a clever Dr. Seuss-inspired campaign called "WhoKnewVille" which draws attention to the fact that Walmart has a lot of brands most people don't even realize.

  • 3 new Deals events. Two weeks prior to Black Friday, Black Friday itself, and then Cyber Monday. Cyber Monday being an online-exclusive event.

What is Walmart's core advantage over other retailers this holiday?

You see, unlike a lot of retailers, Walmart is used to operating at low margins. And with the growth in profit dollars due to digital services revenue, Walmart is actually in a much better position to drink your milkshake. More deals than ever, more selection than ever, with some of the best execution in the industry means one thing to me. Walmart is in a position to clean up this holiday. While the industry has historically focused a huge amount of attention to Amazon being "the everything store", Walmart is coming on strong, growing at least double Amazon, and may even have sharper pricing this holiday.

Which retailers are most at risk this holiday season?

One thing is clear -- if you are not prepared to operate at Walmart's low margins and high execution, you will be left in the dust as a retailer. Amazon can compete, but who else can?

Not Target. Not Kohl's. Not Macy's. Costco is the only other name that comes to mind - but it does not have the wide assortment Walmart does.


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Rick Watson

Rick Watson founded RMW Commerce Consulting after spending 20+ years as a technology entrepreneur and operator exclusively in the eCommerce industry with companies like ChannelAdvisor, BarnesandNoble.com, Merchantry, and Pitney Bowes.

Watson’s work today is centered on supporting investors and management teams incubating and growing direct-to-consumer businesses. Most recently, in partnership with WHP Global, Rick was a critical resource in architecting the WHP+ platform, a new turnkey direct to consumer digital e-commerce platform that powers AnneKlein.com and JosephAbboud.com.

Watson also hosts a weekly podcast, Watson Weekly, where he shares an unbiased, unfiltered expert take on the retail sector’s biggest players.

In the past year alone, Rick has spoken at many in-person and virtual events as well as podcasts on topics ranging from retail/ecom to supply chain/logistics and even digital grocery including CommerceNext IRL, ASCM Connect, and Retail Innovation Conference.

https://www.rmwcommerce.com/
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