This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Walmart's Latest Plans for World Domination

NEW YORK (TheStreet) -- New Walmart (WMT - Get Report) CEO Doug McMillon is hitting the ground running.

Since taking over in February, McMillon has mostly been taking flak for dirty stores, low staffing levels and complaints from low-paid workers.

But now McMillon is ready to play some offense. The Walmart he is building plans to be a different company, more ubiquitous, and a better bargain.

First, and perhaps most important, is that Walmart is no longer willing to be only that darkness on the edge of town. The company, which developed as the one choice for bargains in small towns, and expanded into an all-in-one retailer whose Supercenters replaced small town centers, is now moving in many different directions, all at once.

Walmart now has six different store formats it can place anywhere, including convenience store-gas stations that compete with Chevron (CVX) and Exxon-Mobil (XOM), Sam's Club warehouses to compete with Costco (COST), Neighborhood Market stores that compete with Kroger (KR), Walmart Express stores that compete with Family Dollar (FDO), alongside the traditional Walmart Supercenters and its original discount stores.

This brings Walmart into every major niche in retailing, including areas without a single national competitor. The convenience store market, for instance, is highly dispersed, with 7-Eleven being just the largest among hundreds of players, and formats ranging from just a few pumps to the giant Buc-ees in Texas, which can be more than 60,000 square feet.

Online efforts represent a seventh channel, or they could represent an eighth as the company looks to add pick-up windows for online shoppers to some of its existing outlets, in an effort to compete with (AMZN).

Walmart has often run price comparison ads in various markets. Now it's taking that online through an app it calls the Savings Catcher, collecting customer receipt numbers and comparing what was paid with what other stores in the area charged for the same goods.

The company's mobile apps also list specials, show where they are when you're in the store, check product availability and handle customer shopping lists.

Walmart is also aiming to get high-income customers back into its Supercenters with irresistible bargains.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
WMT $79.84 0.00%
AAPL $130.28 0.00%
FB $81.53 0.00%
GOOG $565.06 0.00%
TSLA $218.42 0.00%


DOW 18,080.14 +21.45 0.12%
S&P 500 2,117.69 +4.76 0.23%
NASDAQ 5,092.0850 +36.0220 0.71%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs