Walmart, the retail giant and nation’s largest grocer by revenue, has announced an ambitious plan to expand into more than 150 large-format stores over the next five years. The move comes as Walmart plans to strengthen its position in the retail landscape, emphasizing the importance of brick-and-mortar locations despite the burgeoning influence of online competitors. As the largest private employer with about 1.6 million employees and approximately 90% of the U.S. population living within 10 miles of a Walmart store, the company is in it way to reinforce its retail dominance.
The company, which already operates in more than 4,600 stores across the country and nearly 600 Sam’s Club warehouses, aims to extend its footprint further. While few locations will be expanded from smaller formats into Supercenters with a complete range of groceries and merchandise, the majority will be brand new stores.
“Walmart’s decision to open over 150 new stores reflects our commitment to meeting the evolving needs of our customers and communities. These strategic investments represent millions of dollars in capital investment in labor, supplies, and tax revenue,” said Walmart U.S. CEO John Furner.
Without revealing the costs and locations of the new stores, the announcement shows Walmart’s confidence in its brick-and-mortar strategy as a key component of its future growth amidst heightened competition with online giants like Amazon and Shein. “The expansion plan aligns with our commitment to providing convenient access to affordable goods and groceries for our customers. We believe in the power of our physical stores to serve as community hubs,” said Furner.
The decision to expand stems from Walmart’s relative strength compared to other retailers. In recent years, when other retailers struggled with consumers scaling back on discretionary merchandise, Walmart, a well-known discounter, rode inflation better and even attracted a broader range of households to its stores.
The new stores will also focus on sustainability, integrating energy-efficient lighting and other environmentally friendly features.”The new stores will showcase Walmart’s more modern look, featuring a streamlined layout that emphasizes fashion-forward apparel brands, incorporates technology like scannable QR codes, and features sharper signage. We are committed to providing a more engaging and sustainable shopping experience,” said Furner.
“We’ve made, and are making, strategic investments to build a stronger, more resilient, and more profitable Walmart,” Walmart’s Global Communications Director Josh Havens said in an email. “Adding new stores, and modernizing our existing ones, will better enable us to meet our customers where, when and how they prefer to shop with us.”
While Walmart’s stock reached record high last year, the company persists on innovating and investing in its store presence. The announcement of a 3-for-1 stock split exhibits confidence in its future growth and speaks for Walmart’s ongoing efforts to adapt to changing consumer preferences.
