Walmart+ Demonstrates a Patient, Focused Digital StrategySeptember 4th, 2020
On Tuesday, Walmart announced the launch date for its new membership platform, Walmart+. At the Center for Digital Strategies, we spend a lot of time thinking about digital disruption and transformation, so the story is one we’ve paid attention to as a clear moment made for learning.
It would be a mistake to think the Walmart+ announcement is an Amazon Prime copycat. That assumption overlooks the focused digital strategy and measured responses made by Walmart to counter the threat of Amazon. Walmart invested wisely over the last decade – into talent, technology, and innovative startups – to build a modern technology stack and the business models to match. The patience and clear strategic decisions made over the course of the last decade by Walmart that lead them to this moment in time and their ecommerce growth: revenues were up 97% in Q2 of 2020.
Key takeaway: Walmart shows that maintaining a healthy balance sheet and making wise strategic decisions early and then patiently executing against that strategy works when defending against digital disruption. They’ve provided other firms a template for digital transformation that works: recognize the threat early, understand how your existing assets can enable a digital edge, and remain focused and patient as you execute your strategy.
What are your thoughts on Walmart’s digital transformation? What other companies do you think are poised to transform effectively and push back on digital disruption? Join the conversation on LinkedIn or Twitter.