Amazon's Prime subscription program is a great way for the company to stay competitive and retain customers. However, retailers like Walmart are doing their part of staying relevant in the e-commerce space.
Just a short while ago, Walmart matched the free 2-day shipping offer from Amazon Prime for all customers without the need to purchase any yearly subscription as long as the order total exceeded $35 or pay a flat rate of $5.99.
This morning Walmart has upped the bar with a new announcement for online shoppers that might steal even more customers away from Amazon. Starting April 19th, the retailer will provide a discount for customers who ship their purchases to their local Walmart location instead of to their home or business.
For example, if you were to order a new TV, this promotion would allow a $50 discount (in exchange picking it up at their retail location) as long as it was an eligible model which falls under this promotion.
If you decide you don't want to ship to store or do not have a Walmart nearby, you can send it to your residence or business with free 2-day shipping although you would forfeit the discount.
To better compete with Amazon, Walmart is leveraging the logistics and fulfillment system that has been the backbone behind their 4,100 Walmart locations to better serve their customers by compensating them for potential savings in shipping costs. A bold and innovative move from the company as Amazon does not have the brick-n-mortar presence to match such an offer.
While this seems like great news for consumers, there is some red tape around the new ‘ship to store' promotions that will make it a bit less impressive than it sounds:
- Discounts will vary by product with larger, more expensive items receiving a bigger discount (TVs, Furniture, etc.).
- The initial roll-out of discounts will be offered on 10,000 products although they expect more than 1M come June.
- Discounts can NOT be applied to any products that are in-stock at your local Walmart location.