XL-sized cart full of "meh"... Walmart's disappointing earnings. Physical store sales for the world's largest brick-and-mortar retailer rose barely 2% (a slowdown from last year's 4.2% growth). But there's light at the end of the aisle: ecommerce sales popped 37% for the year. The star? Walmart's online grocery biz.
Walmart's overall ecommerce biz is still unprofitable... E-sigh. It's leaning into online grocery — which it thinks has profit puppy potential — while leaning out of its e-acquisitions:
Cash in the (e-grocery) bag... Grocery shopping is a habit. And owning habits means $$$ — Over 1/2 of Walmart's US sales are from food. The US online grocery market is still in toddler stage, but it's predicted to take 20% of all grocery sales by 2025. Since 90% of Americans live within 10 miles of a Walmart, its curbside/delivery grocery game boasts a critical foundation. That's how it can stay ahead of Amazon, Instacart, and Target.