3 Ways Wal-Mart Is Moving Forward презентация

Amazon.com and Costco Wholesale continue to threaten the retail leader and take market share.
Same-store sales have turned slightly positive after 6 straight quarters of flat or declining comps into last fall.

A company in transition

February 2014
Inherited a company struggling to find new growth areas and adapt to challenges.
Has implemented several surprising changes.

company.
This year the company has stepped up its investment in its online platform, spending $1.2 to $1.5 billion on e-commerce and digitial initatives, while curtailing store growth.

reach as much as $350 billion this year, and are growing 15% annually.
Global e-commerce sales at Wal-Mart increased 17% in the first quarter.

this quarter
Goal is to triple online sales to $35 billion by 2018.
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its small footprint Neighborhood Market format, which delivered 7.9% comparable sales growth in its last quarter.

helped Wal-Mart penetrate cities and other densely populated areas that aren’t suitable for its Supercenters.
At the end of 2013, the company had just 407 Neighborhood Markets. By the end of this year, that number is expected to more than double to around 850.

its reputation on low prices, allowing customer service to at times take a back seat
According to a survey by the American Consumer Satisfaction Index, Wal-Mart ranked at the bottom for discount stores and supermarkets.

has revamped its staffing and compensation model.
It raised minimum wages for all employees to $9/hour in April and will raise them again next February to $10/hour.

Source: Wal-Mart

thwart shoplifters, raising wages for department managers as well as adding 8,000 of them, and limiting their focus to one or two departments.
The reorganizations and wage hikes are designed to increase contact with the customer and incentivize employees to clean and restock departments.