Walmart+ has surpassed 32 million members

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Walmart’s answer to Amazon Prime, Walmart+, has reached 32 million paying subscribers, according to Deutsche Bank. Walmart launched its membership program on September 15, 2020, to increase customer loyalty and sales. But mainly to better compete with Amazon Prime. 

The subscription costs $99 per year or $12.95 per month and focuses on free grocery deliveries for orders over $35 or more, free delivery on products purchased online, plus more. Walmart+ also includes discounts for fuel and free usage of the Scan-and-Go app. 

The company has also included other consumer advantages throughout the year, such as next-day delivery for single-item orders and prescription medicine discounts. The retailer has also reduced the cost of delivery to compete with companies that offer similar subscriptions, such as Amazon Prime.

Retail analyst Krisztina Katai also specified in the research note that Walmart had reached an “inflection point,” after a long period during which the company’s growth was considerably slower.

Doug McMillon, CEO of Walmart, stated that the company places a bigger emphasis on customer experience than on the number of members. McMillon also said that Walmart needs to expand its infrastructure to manage a greater quantity of grocery orders.

To achieve this goal, Walmart is turning many of its stores into automated warehouses that make it easier for company employees to fulfill orders.

McMillon also stated that “The worst thing we could do is to really aggressively market this, get a bunch of members that are disappointed because they can’t get a slot or they don’t get the right in-stock level or some other problem happens,” he said. “So the primary focus we have is on that quality of the experience, delivery of pickup, and that Net Promoter Score.”

The retailer is currently preparing to increase its delivery capabilities through an autonomous delivery service as part of the Walmart membership advantages. Walmart has worked with Ford and Argo AI for this project and is planning to launch it in Austin, Miami, and Washington, DC.

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Krima Desai

Krima Desai is a passionate technology journalist with extensive experience in leading online media outlets.