When Walmart (WMT) embarked on the transition to a full-fledged e-commerce retailer, apparently in response to the aggressive strategies of Amazon (AMZN), it consciously adopted a unique business model rather than copying the latter.
The acquisition of Jet.com came as a major milestone while Walmart continued to strengthen its digital prowess, which involved extensive planning and large-scale resource utilization. After integration, Jet.com witnessed several makeovers and value-addition, including futuristic offerings like digitized self-checkout; and the process is continuing.
In an effort to enhance the shopping experience of urban youth, who constitute the majority of its customers, Walmart this week subjected Jet.com to yet another rejigging. The online platform will now feature pictures of products customized in accordance with the shopping preferences and location of customers.
After joining the Walmart fold, Jet.com witnessed several makeovers and value-addition, including offerings like digitized self-checkout
An exclusive site for Nike (NKE) and Converse is also in the pipeline, which is expected to be rolled out in October. The updated Jet.com also allows residents of New York City to schedule their merchandise deliveries to a three-hour window. The color scheme of the site has been tweaked to give separate colors to each category.
The idea is to increase online traffic, leveraging Walmart’s reputation among city dwellers as a trusted retailer. The latest move complements the recent restructuring of the company’s primary website. Of late, Jet.com has been struggling to retain traffic and registered a sharp fall in customer visits last month. The redesign will be followed up with a promotional campaign aimed at stabilizing customer base and winning back those who have strayed.
It is expected that the fulfillment center to be launched by Jet.com in the Bronx later this year will speed up the delivery process, thereby catalyzing the initiatives to revitalize the company’s online grocery business, a trend that is catching up in the highly-competitive retail industry.
Walmart shares jumped more than 10% last month after it reported impressive first-quarter results, marking the biggest intraday gain in recent times. The stock, which rose about 19% over the past twelve months, lost momentum this week and traded lower in the early hours of Thursday’s session.
Walmart stock jumps on upbeat Q2 results
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