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Marketing Plan: Company Analysis
Leah Breach
School of Business, Liberty University
BUSI 330_B03: Principles of Marketing
Shelli Boydstun
September 2, 2024
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Marketing Plan: Walmart
1. Executive Summary
2. Company Description
Sam Walton founded Walmart, which is now one of the most successful Fortune 500
companies, in 1962 in Rodger Arkansas. The corporation is known for its supermarket variety,
offering groceries, electronics, gifts, etc. while maintaining discounted department store prices.
“Everyday Low Prices” is their slogan and is completed because of their years of efficient
sourcing of items and supply chain management. Multiple store formats allow for the company
to be diverse to the needs of whichever area they are a part of. Whether is it through
neighborhood markets, supermarkets, or their membership-only experience at Sam’s Club, the
Walmart franchise produces the products consumers want at prices they can afford.
Employing over two million people with a mission to “create opportunity, build a more
sustainable future, advance diversity, equity, and inclusion, and bring communities closer
together” (Walmart Inc., 2024). With a significant presence throughout the world and an
evergrowing demand online, Walmart is serving customers every day with the hopes of helping
them “save money” and “live better” (Walmart Inc., 2024). This marketing plan will outline a
new product and how it will best integrate into and expand Walmart’s mission.
Strategic Plan and Focus
Mission
The mission of Walmart is to produce products and services that serve everyday needs,
all in one place and at affordable prices. Aiming to guarantee that customers will find what they
are looking for, Walmart provides services both in-store and online. Walmart also focuses on
opportunities within the company for employment at entry level and beyond, seeking to
support communities worldwide.
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Goals
- Nonfinancial goals
1. To maintain the Walmart brand for customers’ experiences and employee
environments.
2. To maintain market status.
3. To add a new product for athletes of all skill sets.
- Financial Goals
1. To complete an impactful marketing endorsement from a professional athlete.
2. To sell out of pre-order stock.
3. To increase profits in the sporting department by 10%
Core Competency
Walmart seeks to produce low prices for everyday people with a wide variety of
products and services available in a convenient space. Whether online or in-store, Walmart
delivers an effective and consistent experience as well as a selection of relative goods and
services to maintain customer retention and the company’s mission.
Sustainable Competitive Advantage
Walmart will continue collaborating with suppliers and the local community to bring
positive shopping and work experience. Additionally, Walmart has an advantage locally and
globally in terms of sustainable impacts and aims to be a leading voice on matters of
sustainability, inclusivity, and ethics. Walmart’s brand is recognizable worldwide, providing
credibility to its leading voice in the market.
Situation Analysis
SWOT Analysis
Strengths Weaknesses
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1.
2.
3.
High inventory turnover.
A strong brand recognition.
Leadership in the market.
1.
2.
The companies use of a low-cost
strategy.
Inconsistent store experiences.
3. High employee turnover.
Opportunities Threats
1.
2.
3.
The demand for online retail.
Emerging market possibilities in places
such as Africa or Asia. Initiatives
towards environmental
responsibilities.
1.
2.
3.
Labor Costs in the United States.
Competitions with physical and online
businesses such as Target or Amazon.
Economic changes.
Source: GlobalData
Walmart has a worldwide name and brand recognition. This strength has propelled the
company into the market as a respected corporation. Due to this, they have a strong and loyal
customer base. Due to their product variety; groceries, technology, clothing, etc., Walmart is
convenient for everyone. This leads to high product turnover as sales have consistently been
high. The company relies heavily on its low-price motto, and this could lead to small profit
margins for the company. Additionally, because of a high employee turnover, the store
experiences may be inconsistent, and this could encourage customers to change stores. Some of
Walmart’s greatest threats are the competition of large corporations, both in-person stores and
online. Target and Amazon maintain similar products in inventory at similar prices. However,
Walmart does have many opportunities to continue to expand, whether in product diversity,
ecommerce presence, or further external matters for a brand image, such as environmental
issues.
Industry Analysis
Walmart remains in a highly competitive market of retail. With competitors such as
Amazon, Target, Cosco, and individual retailers, Walmart has expanded beyond in-person
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locations. Walmart has various types of shopping experiences, such as small neighborhood
markets, Sam’s Club, and their Supercenters, as well as an E-commerce presence (Statista,
2023). Trends in the retail industry continue to be “as fast as you can get it, the better,”.
However, the incoming generation of spenders, Generation Z, is likely to “pay more for a
product or brand if it promotes environmental issues, social justice, or gender equality”
(Kerin,2024). Retail worldwide is projected to be a 32 trillion-dollar industry in 2026. According
to Statista’s graphs, there has been and will continue to be a general and steady increase in
retail sales for the foreseeable future (Statista, 2022). While there are real sources of
competition for
Walmart, it remains the top producer in the supermarket industry.
Competitor Analysis
Competitions are informed by indicators such as product variety, price, availability of
customer service, and the effective use of new technology. Target is an obvious competitor to
Walmart. They are located in similar areas, both suburban and urban, and sell remarkably
similar products on a large variety scale. Target has strong brand recognition and excitement
around its shopping experience. With collaboration with Starbucks and exclusive company
brands such as Goodfellow & Co, Up & Up, and more, Target has made a significant difference
between itself and its market leader, Walmart. However, while Target does have low prices,
Walmart consistently puts pressure on Target’s pricing strategy (Global Data, 2024).
Company Analysis
Walmart was founded by Sam Walton over 60 years ago and has grown to become the
world’s largest retailer for both the number of employees and ever-increasing profits. Operating
with great responsibilities of millions of employees and customer expectations, the large
corporation has risen to many occasions, keeping their prices low while providing increasingly
more consistent services in a variety of channels. From expansion in the United States to making
an international and online presence, Walmart is sensitive to the growing needs in the
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marketplace. Continuing to maintain a leadership position amongst its competition, Walmart
will continue to keep the mission of low prices conveniently. Further growth will be dependent
on the ability to integrate the dynamic market requests and maintain torsional marketplace
availability.
Customer Analysis
The average Walmart customers are middle or lower-income individuals or families.
Customers who shop at Walmart have a high awareness of cost and want to see their money
put into high-value items; bulk products or discounts on customers’ favorites. Customers tend to
frequent Walmart, making it a part of their weekly or monthly schedules to restock for everyday
needs. Walmart customers value the one-stop shopping experience, which promotes efficiency
and ease. Initiatives such as drive-up or in-store pick-up of orders blended e-commerce with
inperson quality and assurance. Marketing the desire to meet customers in their day-to-day
needs has increased inventory turnover and customer retention. With an overall strong
preference for convenience and reasonable prices, Walmart’s customer base is looking for
consistency and ease.
Marketing Strategies
Marketing and Product Objectives
Walmart’s marketing intends to take advantage of its consistent and diverse customer
pool to approach individuals with effective and cost-effective products. Meeting the needs of
individuals around the world with cost-effectiveness and accessibility is a priority for Walmart,
and these characteristics are often tied to the brand marketing.
Current market. Walmart has always offered athletic clothing and accessories suitable
for an active lifestyle. They continuously seek to have a well-rounded product catalog and would
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be classified as a store that equips individuals for outdoor activities. Overall, Walmart is a
leading retail brand, but they do not have a current specific focus on sports.
New markets. By the close of year five, Walmart will have effectively integrated itself into
the sports market. Putting the product in major locations in the first year and continuing to roll
it out, adding the product to all Walmart Superstore locations by the end of year five. Effectively
entering into the sports industry could lead to sponsorship opportunities and further brand
reach within professional sports.
With the addition of the new product, Walmart will be expanding further into the sports
industry. With an already small foot in the door, an additional convenient product for athletes of
all levels of sports commitment and experience will affirm that Walmart is a go-to shop for
household products that are innovative and useful.
Target Markets
The primary target market for Walmart’s new product is athletes with any level of
experience, likely with intermediate experience and commitment. Households with an average
income of $60,000 per year would have a margin to invest in sports products. Those households
will include children ages 12-18. Because of their ever-growing commitments to events such as
school sports or intermural leagues, families with busy lives and the need for convenience and
cleanliness will look for beneficial and effective products.
Point of Difference
This product is unique because it has not yet been produced to this scale. A compact
machine that can reduce the stench of sports shoes and clean them for continued longevity and
effectiveness for sporting events is not available at a price point for athletes with reduced
financial inflow. The sleek design will feel high-tech and expensive while taking quality care of
sports shoes such as tennis court shoes or soccer cleats. The convenient size can easily fit in a
shoe cubby or any space in a laundry room. It will remain out of the way and will work overnight
so that each day can be a brand-new day for athletes and their gear. The accessibility and
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placement in Walmart throughout the United States and eventually around the world is an
advantage against competitors such as Dicks Sporting Goods or athletic brands like Nike.
Positioning
As an already successful one-spot shop, Walmart’s expansion into the sports industry
continues to show its desire for a diverse and accessible range of products. Additionally, it
empowers athletes of all levels of experience. Walmart can champion the underdog by giving
them the leg up they need, encouraging an active lifestyle backed by technology that enables
athletes for more.
References
eMarketer. (June 1, 2023). Retail e-commerce sales worldwide from 2014 to 2027 (in billion
U.S. dollars) [Graph]. In Statista. Retrieved September 16, 2024, from
https://www.statista.com/statistics/379046/worldwide-retail-e-commerce-sales/
GlobalData. (2024). Walmart Inc: Competitors. Retrieved from GlobalData:
https://www.globaldata.com/company-profile/walmart-inc/competitors/
Kerin, R. (2024). Marketing: The Core. New York: McGraw Hill LLC.
National Retail Federation. (July 10, 2024). Leading 100 retailers in the United States in 2023,
based on U.S. retail sales (in billion U.S. dollars) [Graph]. In Statista. Retrieved September
16, 2024, from https://www.statista.com/statistics/195992/usa-retail-sales-ofthe-top-
retailers/
Walmart Inc. (2024). Purpose. Retrieved from Corporate: Walmart:
https://corporate.walmart.com/purpose
Walmart Inc. (2024). In Global Markets Direct SWOT Reports. GlobalData Ltd.
https://link.gale.com/apps/doc/AAA000068704/GBIB?
u=vic_liberty&sid=bookmarkGBIB&xid=8b9c0141
