Sunday, June 30

Walmart Vs. Amazon: 6 Key Differences

Walmart vs. Amazon, who would win?

Walmart vs. Amazon: Who will win this battle? Both of these two are some of the biggest retailers in the world, and what makes them so special and popular is their care for their customers and also the innovation they provide in this field. But which one of them is the best choice? Is one of them better than the other?

In this article, we want to take a look at the battle between these two mega-brands and see which one might be better for you. Over the course of the years, brands have undergone significant changes, and we want to tell you all about them.

Read on and see with your own eyes which one is the best choice for you. Walmart vs. Amazon, let’s start!

walmart vs amazon
Photo by Drazen Zigic from Shutterstock

1. Customer focus

Let’s start with what interests most of us, and that is how each retailer treats its customers. It is true that numbers tell a lot, but what can tell even more about the success of a company is its customer focus.

Recently, Amazon managed to place itself up there and increase its American Customer Satisfaction Index by six, meaning that now its score is 84%. This is an amazing score because it positions the company in second place among all online retailers. The things that helped Amazon increase its score were the growth of its selection and value.

If we look at Walmart, we will notice that it increased its score only by one point, and this is not something that makes a real difference. So we can say that the retailer didn’t advance at all.

What boosted Amazon so much in this Walmart vs. Amazon “match” is that this company is recognized for its customer-centric culture and values convenience and personalization, constantly trying to improve in these fields. The Amazon app is incredible and helps customers take care of all their shopping and other Amazon-related tasks in no time.

Walmart is actively trying to improve the experience of its customers, but it is moving slowly. However, the news says that the new Walmart business will make things easier for small business customers by optimizing the purchasing procedure.

Walmart vs. Amazon: For this round, Amazon is the winner.

2. Retail presence

When you decide what your favorite store is, its location is important because you want it to be easily accessible and close to your home. Let’s see who has the most stores.

Walmart has 4,700 stores in the United States and 5,000 more globally. Besides this, you can ask any American, and they will tell you that they live in a radius of 10 miles from a Walmart.

Amazon is known to be present online; this is how most people know about this store, but more recently, they have also opened physical stores. Currently, there are 26 Amazon Go stores, 520 Whole Foods Markets, and 44 Amazon Fresh. Amazon’s physical storefronts are thriving, with double-digit sales increases across numerous quarters.

Walmart vs. Amazon: This round is a tie. While Amazon is expanding, Walmart dominates with the big numbers.

3. Sustainability

At this point, Walmart is trying to move forward with its sustainability goals, and the retailer wants to reduce emissions to zero by 2024. What is even more amazing is that this company is operating 46% of its business through renewable energy. Also, it has low-impact heating and cooling in all of its stores.

Amazon is also trying to reach zero emissions in all its operations by 2025, and this is surprising because the initial goal was set for 2030. This means the company will reach its goal five years earlier.

But with all of this, Amazon is still one of the main contributors to global waste. According to one report, in 2022, Amazon produced 599 million pounds of plastic waste consisting of packages, which is a significant increase compared to earlier years.

Walmart vs. Amazon: This time, Walmart is the winner. It is true that Amazon is progressing, and they are trying their best, but they still need to improve in many areas.

4. Digital growth

The pandemic was a great opportunity for both businesses to grow in the e-commerce field, but right now, this growth is leveling out more and more. In the case of Amazon, if we were to compare the profit from 2021 to the one from 2022, we could see that the company has lost $2.7 billion from e-commerce revenue.

On the other hand, Walmart’s digital sales increased 17% over the year before, but the brand is cautiously hopeful about future growth due to inflation-based pricing increases.

In this whole Walmart vs. Amazon battle, we need to mention that both retailers provide access to digital membership services. Walmart+ made more than $11.5 million in profits for the company which led it to add more benefits. Then we have Amazon Prime, which has more than 160 million members worldwide, but unfortunately, the prices keep increasing annually.

Walmart vs. Amazon: Amazon is the winner! It is hard to battle against Amazon Prime. This service dominates the whole world, and although Walmart has significant digital growth, it cannot still match Amazon Prime.

5. Logistics

Amazon is well-known for being king in the logistics department, being one of the pioneers of overnight shipping, and having amazing control over its fleet. It has established a $1 billion fund for logistics innovation, such as the first investments in robots and wearable technologies in its fulfillment facilities.

Right now, Amazon is trying to automate intralogistics because it wants to move items between warehouses more easily.

Now, let’s see how Walmart is doing in the logistics department. One thing that has amazed us is that Walmart has more supply chain patents than Amazon and also than any other retailer.

The recent investments in this business are all about building fulfillment centers because they want to improve their final-mile logistics. That means Walmart has smaller facilities to store the items that need to be delivered, and they are closer to your home.

Walmart vs. Amazon: This one is a tie. Amazon has incredible logistics. It is so good at this that you might say that they are a transport company rather than an online retailer. At the same time, Walmart is investing more and more in logistics, and it promotes technology through the work done by humans. This combination has the potential to change retail forever.

walmart vs amazon
Photo by Gorodenkoff from Shutterstock

6. Innovation

2022 has been a fantastic year for Walmart in terms of innovation. The retailer spent $14 billion and made its stores more convenient for its customers by adding a touchless payment app and also making the physical stores easier to navigate.

Even more, Walmart keeps investing in its drone delivery service, and they are also setting up smaller centers around cities and towns to make picking up orders more efficient. Also, they are teaming up with other online services, such as Netflix and Angi, because this lets them create more services that customers can access.

At the same time, Amazon shook things up by adding high-tech robots to its warehouses and opening more grocery store chains than ever before. Also, rumors say that Amazon wants to open movie theaters. They are really good at using the available data to figure out what customers want, and even more, they have a $1 billion fund that needs to be invested in logistics and the improvement of the supply chain.

If you want to be sustainable with your groceries, one thing that might help is to use the same bags every time you go without buying new ones. This is why these reusable bags are amazing: Creative Green Life Reusable Grocery Bags (3 Pack) – Heavy Duty Reusable Shopping Bags

You should also read: Are You a Regular at Walgreens? Here’s how To Save Money Everytime You Shop

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