In this file:
· The Great Walmart Worldwide Reset Continues
· Walmart Is Raising An Army Of Retailers To Beat Amazon
· McDonald’s to close 200 restaurants; half of those are located in Walmart stores
The Great Walmart Worldwide Reset Continues
Warren Shoulberg, Senior Contributor, Forbes
Jul 28, 2020
Walmart became the largest retailer in the U.S. through superior logistics, cost-cutting, site selection, capital investment in its footprint and a relentless push to focus on low prices.
It figured the same strategy would work in the rest of the world…but it has not quite gone according to plan.
With the news that the company — it is the world’s largest retailer despite global stumbles — was putting its Asda subsidiary back up for sale in the U.K. and maneuvering to put its assorted physical and online pieces in India into a coherent package, Walmart is once more showing it doesn’t have its worldwide act together yet.
While it’s had success in Mexico and elsewhere in North America, something in the Walmart playbook seems to get lost once it tries to cross a big ocean. Units in Germany and Japan have been sold, its China operation is holding its own in stores but faded online and now it wants to sell part or all of its British supermarket and general merchandise chain, once held up as the poster child for international expansion.
In India, the situation is somewhat different. After spending some serious money to buy 77% of the online Flipkart business in 2018, Walmart has doubled down on what is the world’s last great retail frontier. It has upped its equity share of Flipkart to 82%, kicking in another $1.2 billion. Then Flipkart announced it was buying Walmart India, which is essentially a B2B wholesaler that supplies the country’s kirana stores, which are small neighborhood locations selling food and merchandise. A new online marketplace called Flipkart Wholesale is expected to launch in August to service this channel.
For Walmart the stakes are high...
... Why the Walmart model doesn’t work overseas is a question many have asked and few answered satisfactorily...
Walmart Is Raising An Army Of Retailers To Beat Amazon
Dan Runkevicius, Contributor, Forbes
Jul 29, 2020
Funny how fast things change.
Not long ago, Walmart was laughed off as a brick and mortar dinosaur. Today it’s nipping at Amazon’s (AMZN) heels as America’s second biggest online store—and it shows no signs of stopping.
Last quarter alone, Walmart’s online sales almost doubled as Covid-19 forced half of America to order groceries online. But as I’ll explain, delivering groceries is just a warm-up exercise for what Walmart has really set its sights on.
Behind the headlines, Walmart is raising an army of retailers to overpower Amazon. And last month, Walmart cut an important deal as part of this “strategic priority” (as Walmart describes it).
I’ll tell you all about it in a moment. But first some background.
Walmart’s last missing piece of puzzle
Walmart has almost everything it needs to compete with Amazon, neck and neck.
Like Amazon, Walmart ships fast—most stuff hits your door in two days, max. And like Amazon, it offers a killer membership program, Walmart+—which comes with unlimited two-hour grocery delivery. Plus, you can pick up your order at 3,100 stores, one of which is very likely near you.
So what is it that’s currently holding Walmart from beating Amazon? In three words: a billion products.
Over the last two decades, Amazon has built a colossal catalog of products. By my calculations, Amazon.com is now listing over a billion products. This variety is the reason Amazon is our go-to place when we shop online.
But most of these products don’t belong to Amazon. They come from other retailers known as third-party sellers. For a fee, Amazon gives them permission to put their stuff on its “shelves.”
Amazon is now “housing” over three million such sellers in America that account for more than 60% of all Amazon sales, according to Marketplace Pulse. And their billion-product-strong assortment is Amazon’s key edge against Walmart.
Walmart is raising an army of retailers ...
Walmart seals a deal with Shopify to speed up recruitment ...
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McDonald’s to close 200 restaurants; half of those are located in Walmart stores
By: Debbie Lord, Cox Media Group National Content Desk
via FOX 23 (OK) - July 29, 2020
McDonald’s will close 200 restaurants across the United States, the company’s CEO announced Tuesday, making the fast-food giant part of a growing list of store closings caused at least in part by the COVID-19 pandemic.
Half of the restaurants targeted for closure are “low-volume restaurants” located in Walmart stores, Chris Kempczinski, McDonald’s CEO Chris Kempczinski said in an earnings call Tuesday. The restaurants had been slated to be closed in the future, but Kempczinski said the plan to shutter the 200 locations was accelerated by the COVID-19 pandemic.
McDonald’s has 14,000 U.S. locations and 39,000 stores worldwide. The 200 stores to be closed in the U.S. will be closed permanently, Kempczinski said. The locations of the stores have not been announced yet.
McDonald’s implemented safety procedures in all its locations as the pandemic spread across the world. The company closed then reopened nearly a quarter of its restaurants since March.
"Within a matter of weeks, the McDonald's system made operational modifications across 30,000 restaurants, while closing and then reopening another 9,000 restaurants," Kempczinski said during Tuesday's earnings call. "We introduced new safety procedures in all our restaurants, modified our menus, and developed new contactless ways to serve our customers."
McDonald’s also announced last week that beginning Saturday it would require customers to wear a face covering or a mask when they enter one of its restaurants...
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