Connect with us

Hi, what are you looking for?

The American GeniusThe American Genius

Business News

Amazon fed the rivalry with a bot-block to Walmart

(BUSINESS NEWS) Amazon has decided to bot block Walmart’s attempts to price check feeding the retail rivalry.

walmart amazon battle

Battle royale!

An all-out online discount war is afoot between Walmart and Amazon.

bar
A crucial secret weapon in that battle is the ability to price-check rivals’ products and match the offer. That rivalry took a nasty new turn with an epic bot block.
In January 2017, engineers at “@WalmartLabs” suddenly found that their computer programs were failing to scan prices on Amazon’s site.

The bot block

The glitch was not their own. Amazon purposefully created smart bots to prevent rival programs auto-checking prices, and there was no way of going around it. Manually price-checking items is prohibitively costly and inefficient. On the other hand, a price difference of even 50 cents can divert traffic to their competitors.

In a scramble to keep up, Walmart reached out to a secondary source to gather Amazon’s data.

This is a rare glimpse on Amazon’s secret to success— dominate by stealthily maneuvering technological prowess. Steal rival’s publicly available data, cut them out from availing yours. Benchmark and bot block.

No matter how hard they try, Walmart’s efforts seem to be falling short.

Last year, Walmart spent billions acquiring e-commerce businesses including Shoebuy, Moosejaw, Modcloth, and Jet.com. To compete directly with Amazon Prime, in January Walmart started offering no-membership-required free two-day shipping on two million items.

Advertisement. Scroll to continue reading.

In addition, last month Walmart launched Pickup Discounts: discounted prices on 10,000 items online and free delivery to any Walmart store nationwide, for pickup.

To top it all off, Walmart reduced its workforce by eliminating 18,000 positions in the last year alone.

All these drastic measures helped Walmart post revenue gains and their stocks remain valuable. However, the overall competitiveness of the retail giant remains uncertain.

Comparitively

A recent price-check survey by Business Insider of 25 products— ranging from clothing to dog food and electronics— revealed Amazon was offering cheaper products overall. So although Walmart is faring much better than competitors like Macy’s, JCPenney or Payless, Amazon is brutally aggressive and proving impossible to beat.

Here is an instance. In February, Walmart dropped its free shipping minimum to $35, from a previous tag of $49, just to match Amazon’s.

Last week Amazon gave a retort: minimum order size of only $25!

A digital era behemoth is taking on a brick and mortar giant. Welcome to the new bot wars! Grab some popcorn! In theory, at least, no matter who wins, the customers should win!

Advertisement. Scroll to continue reading.

#BotBlock

Barnil is a Staff Writer at The American Genius. With a Master's Degree in International Relations, Barnil is a Research Assistant at UT, Austin. When he hikes, he falls. When he swims, he sinks. When he drives, others honk. But when he writes, people read.

3 Comments

3 Comments

  1. Pingback: Walmart is enlisting its own employees to deliver your orders - The American Genius

  2. Pingback: One cloud to rule them all: Walmart, Amazon at odds again - The American Genius

  3. Pingback: Do or die: there's a store monopoly and Amazon's the only option left? - The American Genius

Leave a Reply

Your email address will not be published. Required fields are marked *

Advertisement

The
American Genius
news neatly in your inbox

Subscribe to our mailing list for news sent straight to your email inbox.

Advertisement

KEEP READING!

Business News

It’s been almost 2 years since the FTC nabbed Amazon for keeping $62 million dollars in driver tips, and now they are in the...

Business News

Shopping online has transitioned from typical websites to social media. With the rise of TikTok and Instagram, Amazon looks to capitalize.

Social Media

Brands left and right have been jumping off of the Twitter titanic before it fully sinks, but it looks like Apple and Amazon are...

Business News

Robots and AI are on the rise, and workers on are edge about their career future, especially at companies like Amazon.

The American Genius is a strong news voice in the entrepreneur and tech world, offering meaningful, concise insight into emerging technologies, the digital economy, best practices, and a shifting business culture. We refuse to publish fluff, and our readers rely on us for inspiring action. Copyright © 2005-2022, The American Genius, LLC.