Our 2¢: Because of the Walmart brand.
But hey, let’s not get ahead of ourselves.
Let’s start slow, with the image featured in this post (screen shot via Wall Street Journal).
It shows that, over the last 10 years, Walmart’s online business hasn’t been going in the right direction.
It’s not due to Walmart throwing a lack of money at the problem.
Walmart is desperately trying to get folks to shop on their site.
And yet, it’s still simply not happening.
We already gave you our 2¢ why that is the case: Because of the Walmart brand.
But we don’t want you to take our word for it.
Let’s run a quick thought experiment to see if you’ll agree with us.
Let’s say that you want to buy a gift online.
It’s for someone special.
Someone you like. A lot.
Specifically, yourself. 🙂
Let’s say you want to reward yourself with a fresh pair of those trendy headphones.
You already picked the brand, and you have your credit card ready — aka, all systems go.
There’s only one more question left to answer before you actually buy it online.
Would you rather have those headphones delivered in a Walmart box, or an Amazon box?
We all know the answer to that question, no?
Walmart may be able to deliver many things, but one thing it can’t deliver is an experience you love.
It’s not a lack of technology.
It’s not a lack of the right product.
It’s who they are.
It’s their brand.
On the other hand, Amazon provides an exceptional shopping experience.
It has earned the trust and loyalty of shoppers by simplifying the buying process, helping folks make informed purchase decisions via reviews, and providing stellar customer service.
But that’s not all. There’s an entire ecosystem that keeps you coming back.
The platform which the founder of Amazon, Jeff Bezos, has built has an amazing brand.
The smiling box, the Kindle, Amazon Prime, Amazon Studios… the list goes on.
All those ingredients make for one delicious cake which can’t be easily replicated.
But don’t take our word for it. Just ask the guys at Walmart.
Let’s wrap this up.
Takeaway: The product which folks can’t stop buying is a great experience.
The Amazon brand delivers it in more ways than we care to count.
And the Walmart brand? It’s got a great deal on Walmart-brand brownies.
p.s.
Walmart knows its limitations.
And it’s working on overcoming them.
Kinda.
For example, last year, Walmart purchased jet.com to challenge Amazon.
One of Jet.com’s promises is to ‘humanize the economics of saving money.’
And how’s Jet.com working out for Walmart?
Since your time is short, let’s just point out one glaring drawback of Jet.com: no reviews.
And just how important are those reviews on Amazon? If you poke around the internet, you’ll find stories of brands selling through Amazon confirming that even items with low reviews sell better than those with no reviews.
‘Wait, are you saying that Jet.com promises to ‘humanize the economics of saving money,’ but that it doesn’t offer reviews on its site?’
Correct.
Should you really be surprised, though? Because that sounds like a Walmart kind of take on what goes into creating a great experience, no?