World’s biggest retailer launches Walmart Plus and customers have their say

Abstract

Purpose The Covid crisis led to a huge worldwide shift in consumer behavior. In response, Walmart’s revised business strategy promoted their online delivery service known as Walmart Plus. This study aims to critique the potential of this new venture via a customer value analysis. Design/methodology/approach Using the customer value funnel, Walmart’s market environment, organizational factors, customer perceptions and business performance are examined. An exploratory survey collected data from South Florida residents on awareness and interest in Walmart Plus. Findings The changing marketplace forced Walmart to quickly adapt to online buyers and emphasize the value of their retail and grocery products. Walmart Plus is an alternative to Amazon Prime and can assist the company gain market share in regional grocery markets. Research limitations/implications This work is largely conceptual and presents a case study featuring a limited sample in one metropolitan statistical area. While the findings are insightful, it may not be representative of the US market. Practical implications Corporate executives and entrepreneurs must respond to changing market conditions and rethink their business models to deliver superior customer value. This requires introducing innovative services and digital initiatives to compete successfully. The paper concludes with recommendations for management and questions for consideration. Originality/value Walmart is the dominant American retailer and a global leader. While there has been considerable research on this retail giant, there has been limited analysis of their digital initiatives such as Walmart Plus.