Major change for shoppers as Walmart creates new business model set to rival Amazon

WALMART is expanding its online presence in an effort to compete with internet giants like Amazon.

The chain’s new initiative called Walmart Business aims to serve commercial clients and non-profits.

Walmart is launching a new initiative focused on gaining more commercial customers

2

Walmart is launching a new initiative focused on gaining more commercial customersCredit: Getty
Walmart hopes the program will help it compete with Amazon

2

Walmart hopes the program will help it compete with AmazonCredit: AFP

The program, which has its own website, is focused on products like food, electronics, office supplies, and furniture.

Walmart publicly announced the initiative on Friday, but the website with more than 100,000 different items has been live since September, Bloomberg reported.

The chain has also created a new membership plan that will provide businesses with extra savings.

For $98 a year, customers can get perks like free shipping, savings of five percent on eligible items, and two percent rewards on orders of at least $250.

Walmart secret clearance saves you hundreds on tech and homeware
I halved the price of my $30 Walmart item - it's all down to the barcode

It’s similar to the chain’s Walmart+ membership program, but with Business, as many as five users can share a single account.

Executives hope the new initiative will help Walmart compete with companies like Amazon, Costco and Staples, which worked hard to gain small business customers during the pandemic.

Walmart is currently the world’s largest retailer, but since it already dominates so much of the market, analysts expect the company to grow more slowly in the long term.

That’s why the chain needs to tap into new customer bases.

Most read in Money

Walmart wants the new initiative to attract purchasing managers working for big corporate clients.

But the chain also hopes its existing customers who own small or medium businesses will start buying their supplies from Walmart instead of one of its competitors.

Ashley Hubka, Walmart’s vice president, told Bloomberg she doesn’t expect the new initiative to take away clients from Sam’s Club, a bulk warehouse chain owned by the same company.

 7 total views,  1 views today