Walmart continues to push back at Amazon – and wins



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The retail giant, Walmart, continues to fight Amazon, increasing its online sales.

Last week, the company announced a 2.8% jump in its store sales and 37% of its online sales for the second quarter of fiscal year. This is the result of a 3.4% jump in US sales in the first quarter and 37% in online sales for the first quarter.

In total, Walmart reported 19 positive transactions for 19 quarters and the future looks more promising, according to comments from its CEO following last week's report. This means that the big comeback of the retail giant is real.

And that's bad news for Amazon.

Walmart vs Amazon shares

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Walmart and Amazon Revenues

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"Walmart's report last week is only the latest demonstration of the retailer's remarkable change," says Jeff Yastine, senior equity analyst at Banyan Hill Publishing.

It traces this gap in 2017, when Walmart bought the Jet.com Internet vendor, and Jet's top executives in its ranks, which allowed Walmart to achieve double-digit online sales in the following quarters, until today.

Other major physical retailers have launched similar strategies to fight Amazon.

"Large, smartly managed mainstream retailers no longer concede the digital playing field, which means that Amazon's unhindered growth days are largely over," says Yastine. & nbsp; "A good example can be seen with Target, based in Minneapolis, who was so uninterested in digital sales that it paid Amazon to manage (and fill) its Internet operations until 2011. In recent years, Target has also invested in warehouses, robotic warehouse systems and even developing its own "in-store" form of execution – using its own stores as e-commerce warehouses – so that it can deliver on the same day many basic items, like Amazon. "

Clément Thibault, Financial Markets Platform Analyst & nbsp;Invest.com, praises Walmart's one-day expedition.& nbsp; "The name of the game is a shipping day," he explains. Walmart already covers 75% of the US with its NextDay shipment, allowing Walmart to give Amazon a real head start on its money. Obviously, it works. Walmart had the wisdom to focus on selling online and decided not to give in to Amazon. The e-commerce market can indeed support more than one giant retailer, and Walmart has taken all the measures that have been imposed so far. Implementing a strategy in a hostile and competitive environment is the hallmark of a truly great company. "

Meanwhile, Walmart leveraged its vast network of stores to speed up online orders by shipping them from its stores rather than from remote warehouses, as was the case with Amazon.

And it offers customers the choice of & nbsp; place orders online and & nbsp;picking& nbsp; up merchandise in neighborhood stores, to save time and avoid shipping costs.

It's something that Amazon misses.

Total number of Walmart stores in the United States

Type 2012 2019
Discount stores 629 386
Neighborhood Markets 210 813
supercenters 3,029 3,570
Total 4,479 4,769

Source: Statista.com 18/05/2019

In simple terms, Walmart wins more online sales by "flipping tables" on Amazon, pushing the online giant to hurry to expand its own presence, acquiring traditional retailers like Whole Foods – and planning to open more stores. Grocery stores across the country to meet the needs of markets not served by Whole Foods.

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The retail giant, Walmart, continues to fight Amazon, increasing its online sales.

Last week, the company announced a 2.8% jump in its store sales and 37% of its online sales for the second quarter of fiscal year. This is the result of a 3.4% jump in US sales in the first quarter and 37% in online sales for the first quarter.

In total, Walmart reported 19 positive transactions for 19 quarters and the future looks more promising, according to comments from its CEO following last week's report. This means that the big comeback of the retail giant is real.

And that's bad news for Amazon.

Walmart vs Amazon shares

Koyfin

Walmart and Amazon Revenues

Koyfin

"Walmart's report last week is only the latest demonstration of the retailer's remarkable change," says Jeff Yastine, senior equity analyst at Banyan Hill Publishing.

It traces this gap in 2017, when Walmart bought the Jet.com Internet vendor, and Jet's top executives in its ranks, which allowed Walmart to achieve double-digit online sales in the following quarters, until today.

Other major physical retailers have launched similar strategies to fight Amazon.

"Large, smartly managed mainstream retailers no longer concede the digital playing field, which means that Amazon's unhindered growth days are largely over," says Yastine. "A good example can be seen with Target, based in Minneapolis, who was so indifferent to digital sales that he paid Amazon to manage (and fulfill) its Internet operations until in 2011. In recent years Target has also invested heavily, investing in warehouses, robotic warehouse systems, and even pioneering its own "in-store" execution – using its own stores as e-commerce warehouses – in order to provide same-day delivery of many basic items, such as Amazon. "

Clément Thibault, Financial Markets Platform Analyst Invest.com, praises Walmart's one-day expedition. "The name of the game is that of the expedition one day," he explains. "Walmart already covers 75% of the US with its NextDay shipping, and allows Walmart to give Amazon a real head start on its money.Of course, it works.Walmart has been wise enough to focus on the Internet, and has The e-commerce market can take over more than one giant retailer, and Walmart has taken all the necessary steps to date.Strategy in a hostile environment and competitive, and that's the hallmark of a really great company. "

Meanwhile, Walmart leveraged its vast network of stores to speed up online orders by shipping them from its stores rather than from remote warehouses, as was the case with Amazon.

And it offers customers the choice of placing orders online and picking up merchandise in neighborhood stores, saving time and shipping costs.

It's something that Amazon misses.

Total number of Walmart stores in the United States

Type 2012 2019
Discount stores 629 386
Neighborhood Markets 210 813
supercenters 3,029 3,570
Total 4,479 4,769

Source: Statista.com 18/05/2019

In simple terms, Walmart is gaining more online sales by "flipping tables" on Amazon, pushing the online giant to rush to expand its own presence, by acquiring traditional retailers like Whole Foods – and planning to go to market. further open grocery stores across the country to supply markets not served by Whole Foods.

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