Walmart To Upgrade 1,400 Stores With $9 Billion Investment
by upasana sarbajna Business 31 October 2023
The biggest U.S. retail chain, Walmart, said on Monday that it is planning on investing more than 9 billion U.S. dollars over a period of two years to modernize and upgrade some of the U.S. stores with expanded product selections, improved layouts, and new technical additions.
On Friday, 117 stores across 30 states would be re-launched, showing the enhancements, representing the investments of over $500 million, as per a statement given by Walmart.
On the whole, the brand is planning to modernize over 1,400 of its 4,717 stores across the whole country. The remodels may not be applicable to the warehouse club chain, as was said by a spokesperson.
“These construction investments allow us to create more local jobs and make it easier for our associates to get customers what they want, when they want it,” said the chief executive officer of the U.S. business of Walmart, John Furner.
The low-margin and low-cost groceries at Walmart have always been a big draw for Americans who are dealing with the steep inflation in the prices of food, which include eggs, different proteins, and chocolates over the last two years. In 2022, the sales of the company surpassed $600 billion, which was a record.
Now, the retailer from Arkansas wishes to change its whole image from being just a steep discounter to the ultimate destination where the customers may also buy fashionable clothing and home goods.
As a part of these efforts, the company tested some of the concepts of remodeling stores known as the “Stores of the Future” at a couple of Walmart Supercenters, which included Teterboro in New Jersey previously this year. Executives have said before that the entire concept was indeed successful, with same-store sales increasing by a considerable percentage points, and in the case of Teterboro, it was 20%. The investments on Monday marked the national rollout of the concept, as was said by a Walmart spokesperson.