Walmart recently launched a new ad, "Monday Case", to create a buzz and attract consumers to shop on Walmart's website on Cyber Monday. Throughout November, Walmart will continue to launch ads to promote Black Friday online, which will be released on YouTube.
In the new ad, Walmart is trying to encourage people who shopped at Walmart stores or brick-and-mortar stores on Cyber Monday to continue shopping on Walmart.com, a move analysts say is aimed at competing with Amazon for a share of holiday season e-commerce sales.
Online shopping peaks during the holiday season According to analysts, Black Friday is not only an important holiday for online shopping, but also a peak time for offline shopping, while Cyber Monday focuses more on online shopping. So there is a saying that Black Friday is Walmart's day and Cyber Monday is Amazon's day.
But the latest marketing campaign shows that Walmart is trying to integrate into the Cyber Monday shopping event. Overall, Cyber Monday is the day with the most online spending, and online shopping will continue to grow in the next two Mondays. Walmart obviously does not want to miss this opportunity.
Intelligence Insider data shows that consumer spending on Cyber Monday last year was $10.7 billion, down 1.4% from 2020, but still considered the biggest online shopping day of the year.
According to Adobe, online sales on Black Friday this year are expected to grow just 1% from last year, while sales on Cyber Monday, the Monday after Thanksgiving that has evolved into the start of Christmas online shopping, are expected to grow 5.1%.
Walmart's marketing campaign will therefore be aimed directly at Amazon, which tends to account for the majority of online shopping during Cyber Monday. Although overall e-commerce spending on Black Friday Cyber Monday was down last year compared to 2020, Amazon still saw an increase in revenue.
Walmart is catching up with Amazon in the e-commerce market Walmart CEO Doug McMillon said on the earnings call that Walmart.com growth is "improving" and its Walmart+ membership subscription program has an estimated 16 million members, with the total number of Plus members increasing by about 9% over last year and penetration continuing to climb.
Indeed, the battle between Walmart and Amazon for online consumers is intensifying, with Walmart playing catch-up to Amazon’s booming advertising business after recently announcing plans to integrate social media platforms like TikTok and Snap into its ad tech platform.
Walmart's strategy is to try to attract new customers at a faster rate. In addition to bigger discounts, Walmart has also cut the cost of Walmart+ membership in half.
“Walmart and Amazon compete for customers on the fence, and when Walmart lowers prices, Amazon Prime customer churn is likely to be higher,” said Jason Goldberg, chief commercial officer at Publicis.
Editor✎ Ashley/ Disclaimer: This article is copyrighted and may not be reproduced without permission. |
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