In an
Oct 3, 2007 WSJ article titled
"Wal-Mart Era Wanes Amid
Big Shifts in Retail"
by Gary McWilliams a casual
reader might get the impression
that Wal-Mart is on the road
to obscurity but as Mark Twain
famously said "The reports
of my death have been greatly
exaggerated." The article
opens with the summary that
the Wal-Mart era of being
retails overwhelming business
and social influence in America
is drawing to a close. While
it is true Wal-Mart's same
store sales have declined
from a steady 5% to a more
recent 1.3% one must still
consider their total sales
are more than 4 times larger
than rival Target and over
4 times larger than the U.S.'s
2nd largest grocer Kroger
Co. It's clear Wal-Mart faces
many challenges but it's also
clear they are way ahead of
their competition in terms
of scale and total sales.
Comparing same stores sales
between Wal-Mart and Target
requires more than just casual
observation.
Wal-Mart
remains a much desired destination
for vendors to sell large
quantities of product. Vendors
who partner with Wal-Mart,
study store level on-hand,
and work proactively to have
the right mix of product still
stand to rack up huge sales.
It's easy to look at the biggest
company in a market and find
problems... smart vendors
look for the opportunities.
And Wal-Mart is looking for
vendors with high sell-thru
products and a willingness
to get into the details of
store level data analysis.
>
return to Blog home |