Walmart launches new test stores

As Walmart keeps trying to grow its digital business, it’s leaning on a major advantage it has over Amazon and online pure players: its vast base of large stores says in a blog post from John Crecelius, senior vice president for associate product and next generation stores at Walmart U.S.

Hybrid prototypes

Crecelius said in the post. “We’re moving quickly to use our physical retail stores to not only serve in-store shoppers, but to flex to meet the needs of online shoppers, too, in ways that only Walmart can.”

To that end, Walmart is looking to rapidly test technology at the prototype stores, often with a mind toward operational efficiency as stores become both shopping destinations and fulfillment and pickup centers for digital orders. The retailer, for example, is rolling out an app for employees that uses augmented reality to identify boxes ready to go to the sales floor rather than having associates scan each box individually.

Walmart is also testing ways to combine in-store signage with handheld devices to help workers get to the right location to pick online orders. Crecelius said methods tested so far have boosted by 20% how often store associates find an item on their first attempt.

Other tests include blending in-store and online inventory categories, such as apparel, and contactless checkout technologies.

Organisational background

The test stores are just the latest in Walmart’s efforts to marry digital with in-store shopping. Earlier this fall, the retailer announced it planned to revamp some 1,000 stores with a new format that encourages customers to use Walmart’s app while shopping and provide contactless checkout options.

Earlier this year, Walmart fully merged its e-commerce and store buying teams into a single merchandising organization to help smooth out friction and streamline its purchasing operations. Along with simplifying buying and improving communication with vendors, the move was meant to help make Walmart’s online assortment better reflect what’s in stores.