- Wal-Mart has been testing a new technology to advance front-end operations to improve the experience of shoppers in the US.
- Furthermore, the retailer has rolled out a new price matching program called Savings Catcher.
- Earlier we opined that Wal-Mart's small-format stores will be able to boost US sales, although we didn't anticipate that the company plans to roll out unique programs to boost US sales.
- With its new initiatives the big box retailer will be able to boost US sales further, which confirms our opinion.
Wal-Mart (NYSE:WMT) has been testing a new technology that would help the retailer improve its front-end operations, including scan and go in across 200 stores as well as self-serve kiosks, according to a report. The company said that it will allocate more staff hours to the front-end, along with other key areas of the store in order to make sure that shoppers' times aren't wasted. Wal-Mart US new president and CEO Greg Foran said, "We will deliver against these key customer requirements: being in stock, clean stores, the right price, the right items, improved service, better productivity." Driving US sales up is one of his priorities.
The company recently launched the Savings Catcher program, which will allow shoppers to get the lowest possible price among several stores all from their smartphones. Upon shopping a receipt will be generated with a code that needs to be entered at the Savings Catcher website or in the Savings Catcher app within six days of the shopping event. The Savings Catcher technology will then identify the lowest price that is offered or advertised for the purchased item in the defined area or locality and finally the difference will be credited to the shopper's gift card. We believe that Savings Catcher's superior technology to match prices will help Wal-Mart regain its competitive edge.
Wal-Mart has taken these new initiatives as the company has seen store traffic under pressure for a number of quarters. When many people believe that it would be difficult for Wal-Mart to grow sales in the US, the retailer unveiled its high-tech approaches to drive US sales up. In our original article we said that the company's small-format stores would finally succeed and help boost US sales, although that might take time. We also noted that Wal-Mart's same-store sales in its small-format neighborhood markets are growing. To learn more, read our original article.
Business relationship disclosure: The update has been written by a BB Research stock analyst. BB Research is not receiving compensation for it (other than from Seeking Alpha). BB Research has no business relationship with any company whose stock is mentioned in this article.