Walmart has taken significant steps in recent days to strengthen its presence in the distribution market in the United States. The chain of stores is seeking a new approach to attract consumers who prefer other options in the sector. Its recent decision marks a significant shift in its sales and marketing strategy.
Walmart has launched a new line of products to compete directly with Costco, targeting one of its competitor's most popular sections: the "food court." A common area in shopping malls and airports, where several fast-food restaurants are grouped. These products include innovative and affordable desserts, designed to attract those looking for something sweet without having to pay high prices.
Walmart responds to Costco's offer
Among the launches are cheesecakes with unique flavors like guava, spicy honey, and pineapple-mango with Tajín, at just $3 for two servings. With this expansion of its pastry offerings, the chain is taking a clear stance against Costco, which has dominated the market with its bulk sales model.
The new desserts from Walmart are sold at very competitive prices, with options like the churro tres leches at $3.24. They have also included a cake inspired by the piña colada, priced at $7.97, according to The Sun. This move by Walmart is designed to capture consumers looking for an economical option without the need to buy large quantities, as in Costco.
Although Costco remains a strong brand thanks to its flagship product, Kirkland, Walmart has a significant advantage: its network of more than 4,600 stores. This allows them to reach a broader audience without the need for customers to enroll in a membership model, as is the case with the Costco chain. However, the trust that Costco has cultivated in its brand remains a very important challenge for Walmart, especially among loyal customers of Kirkland and its quality products.
Costco's growth challenges Walmart
Despite the solid position of Walmart, which remains the leader in supermarket sales in the United States, Costco has been gaining ground. According to the latest data from Numerator, Costco has seen an increase in its market share, growing from 7.6% to 8.5%. This increase shows Costco's appeal, especially with its bulk sales model, which remains popular among consumers, particularly in times of inflation.
Both chains are making strategic decisions to face a challenging economic environment. Costco remains highly appreciated for its return policy and the trust in its brand. However, Walmart is adapting quickly, launching products at low prices and keeping its accessibility throughout the country.