In the America’s greatest tit-for-tat battle, aka Walmart versus Amazon, Walmart has made a move.
Though all eyes are on Amazon, Walmart is stepping up their game to provide advertising opportunities for brands and manufacturers.
Wally world launched their media network, Walmart Exchange in, 2014, but for the most part it went unnoticed. The program uses sales data from both the online and in-store experience to create targeted and effective ads.
As Walmart’s e-commerce business grows along with their 140 million customer base across the country every week, brands are opening their eyes to the advantages of utilizing the company’s expansive reach.
The main benefit that Walmart holds over Amazon is their in-store data.
For once, being a retailer pays off. Many brick-and-mortars, even giant companies like Macy’s and JCPenney, have begun to close stores at a rapid speed. This comes in the wake of the e-commerce boom, as customers transition from shopping in store to shopping online. However, brick and mortar retail giant has continued to prosper by renovating their sales and advertising strategies.
Real life humans
One of these strategies includes connecting online customer behavior with their purchasing history in store. More commerce takes place in physical retail stores than online. Therefore, Walmart has a major treasure chest of information that Amazon does not have access to.
Walmart Exchange combines this, along with personal information and purchasing history to provide a lucrative advertising opportunity for brands.
With these insights, companies can specify their target audience to include customers that bought products in Walmart. For example, a company selling athletic gear could exclude consumers who bought those products in the last month, but target ones that purchased athletic gear six months ago.
Though Walmart Exchange is gaining a new following, Amazon still outranks them in advertising. As of now, Amazon has a larger amount of traffic on their site and therefore seems more advantageous to promote brands. Still, advertisers seem to be moving away from Google and Facebook in favor of Amazon and Walmart.
Perhaps they are not so much competing against one another as they are jointly dominating the online advertising market.
Other major retailers like Target have also launched an in-house program to track retailer and e-commerce data and offer alternative advertising opportunities.