Number of the Day
Walmart’s E-Commerce Explosion, by the Numbers
After years of flailing, the big-box giant seems to have figured out this whole internet thing
97%: That’s how much Walmart’s online sales grew in the second quarter of 2020, compared to the same period last year.
It was a remarkable performance for the big-box giant, particularly considering Walmart’s reputation as a laggard when it comes to e-commerce. It has long appeared to be fumbling around in response to rival Amazon’s expansion: That includes its big bet on online retailer Jet.com, a $3.3 billion acquisition it shut down in May, in a move that might have looked like yet another setback. But now it seems Walmart’s e-commerce arm (headed by Jet.com’s founder, Marc Lore) has found its footing, adding online-ordered curbside pickup options to the mix.
This surprising bump in online orders was an exclamation point on a blowout quarter, with same-store sales up 9.3%. A few other big retailers saw similar boosts: Home Depot’s sales were up 23%, Lowe’s up 35%, and Target’s, which also benefited from embracing curbside pickup, up 24%. Lots of people love to hate on the big-box store phenomenon (seemingly showing its age as a relic of the ’80s and ’90s), but it seems that when tested, these giants can keep up.
In short, Amazon won’t be eating Walmart’s lunch anytime soon.
