Walmart’s digital strategy, which is built around “Anytime, Anywhere,” is based on two ‘As’: Accessibility and Availability.
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As a small retailer, you’ll need to build a strong brand that is supported by both a loyal and large customer base as well as by stats.
We will analyze Walmart’s digital journey from 2020-2023 to find the answer. Before we get to that, let’s look at Walmart’s marketing mix.
The four P’s of Walmart’s marketing mix (Product, price, place, and promotion)
A digital marketing campaign can fall under one of the four Ps or a combination. Understanding all four Ps of Walmart’s marketing mix allows you to create a comprehensive marketing strategy.
Walmart’s Product Strategy
Walmart is a retailer that offers a wide range of products, which are further subdivided into categories. Walmart has a vast network of departments that include:
- Electronics
- Movies
- Musicians
- Book
- Buy a Pharmacy
- Beautiful People
- Home Improvement
Walmart’s wide range of products is due to a few factors:
- Becomes a destination store for customers.
- It gives you an edge over your competitors.
- A wide range of clients served
The brand also offers products that are specific to the season, such as Halloween costumes for parties or Christmas decor. This broad product range automatically appeals to a large number of people.
Walmart’s Pricing Strategy
Walmart’s pricing strategies can be summed up in one sentence.
The best products at the lowest prices
The company’s pricing strategy is economically beneficial because it procures goods in bulk around the world.
How?
- Walmart’s supply chain management system is highly efficient, which reduces operational costs and allows for more competitive pricing.
- It invests in store-brand products to gain full control of manufacturing and reduce costs.
- This approach is data-driven and allows for accurate forecasting of demand while reducing waste. It also optimizes inventory management.
Walmart’s policy of low prices is also reflected in its slogan, “Save money.” Walmart’s tagline, “Live better,” is a good way to target people of all socio-economic levels. This makes the pricing strategy one of the most effective in its marketing mix.
Walmart Distribution and Place Strategy
Walmart uses a hub-and-spoke method in which the goods are ordered centrally and distributed to the individual stores.
- Walmart optimizes its distribution system and allows for quick replenishment of stock in stores.
- It works with vendors to ensure a smooth flow of products from suppliers to retailers.
- It runs a number of regional distribution centers to ensure the delivery and receipt of products in specific regions.
It has over 10,000 retail outlets spread over more than 20 countries. Suppliers or vendors deliver products directly to the stores. Their distribution strategy focuses on reducing costs by transporting large volumes of products and implementing greener transportation.
Walmart Promotion Strategies
Walmart’s Everyday Low Price strategy is a benchmark for other retailers. The model relies heavily upon the notion that customers would rather buy products for low prices than wait for seasonal sales or discount coupons.
- Price-conscious customers are attracted.
- Customers get personalized offers that are tailored to their preferences.
- Limited-time offers encourage impulse purchases.
Walmart can gain a competitive advantage over new competitors with EDLP by choosing to accept lower margins on each product in exchange for increased sales. Walmart’s promotion strategy is similar to Costco’s marketing strategies, which sell high-quality bulk products at low-profit margins.
Let’s begin with Walmart’s digital marketing campaigns now that we have a better understanding of its marketing mix.
Walmart’s “Different Kind of Membership Campaign” (2020).
A campaign that helps you feel closer to yourself or loved ones will stay with you for a longer period.
Walmart’s digital marketing strategy is exemplified by its “Different Kind Of Membership” campaign.
Walmart launched this campaign in 2020 to promote the Walmart+ program. It boosted unlimited free delivery, special fuel prices, and other tools that would make shopping for families easier.
In the campaign video, 22 families of diverse backgrounds are shown living their everyday lives. These videos have a central theme that is simple but very effective: to be able to spend more time with family and friends. The video is a perfect fit for Walmart+ and its ability to help families do more, from family dinners to welcoming a new baby.
Walmart’s campaign is a subtle way to promote its services and products, including home delivery. This gives families more time together.
The campaign’s key takeaways:
- Promotes inclusion
- Customers get more value from the company.
- Customers are at the heart of everything we do.
Walmart’s “Built for Better Campaign” (2021).
Walmart’s 2021 campaign aims to increase its customer’s trust in the company by incorporating sustainability.
“Customers trust us because of our low prices. But they also want products that are good for the environment, their families and the people making them,” said Ewing Walmart Senior Vice President at Walmart.
The company used the icons “Built for Better- For You” for some products and “Built for Better- for the Planet” for others. The products with the “old” icon were of higher quality, as they met EWG standards, Standard 100 of Oeko, and other nutritional standards.
The products that carry the latter icon have been certified by over 30 independent standards, with a focus on environmental benefits such as Rainforest Alliance and Better Cotton Initiative.
Walmart’s marketing strategy places sustainability and humility at the forefront while also practicing transparency, one of its core values. It informs its customers about the environmental impact of products they buy.
If you are struggling to come up with a campaign idea for your next marketing campaign, consider observing a common problem that people face. See if your brand values can be aligned with the solution or mitigation of the issue. If you run a fashion shop, for example, you can seamlessly integrate sustainability by using biodegradable fabrics or recycled materials.
The campaign is underway.
- Promotes sustainability,
- Attracts environment-conscious customers,
- Transparency is encouraged.