SCOTTSDALE, Ariz. — Blueocean Market Intelligence, a full-service market research and analysis firm, announced today the results of a study examining how changes in consumer shopping habits are impacting sales at the world’s largest retailer.
As the economy rebounded slowly in 2010, Walmart continued fighting sluggish sales. According to its latest earnings report, same-store sales in the United States declined 1.3 percent in the third quarter of 2010. This is the sixth straight quarter U.S. sales have declined.
Blueocean surveyed 1,800 Walmart shoppers in September to discover why sales weren’t rebounding like retail sales in its peer group. Customers reported whether their shopping behavior has or will change over three time periods: 2010 vs. 2009, 2010 holiday season vs. 2009 holiday season, and the next six months vs. current. Survey participants, ages 18 to 75, represented a sample of the U.S. population.
“Walmart Customers Rolling Back” reveals why many customers are choosing to shop elsewhere and/or purchase less. Key findings include:
•Many Walmart shoppers are spending less overall, due to continued pessimism about the economy.
•A decline in Walmart shopping trips appears to be driven by customer loss rather than reduced shopping frequency among current customers.
•Among those leaving Walmart, more than half don’t view Walmart as the “low-price leader.”
•Many who have reduced their Walmart spending report they are finding competitors more affordable and convenient.
•Project Impact, a remodeling effort designed to attract higher income shoppers and reduce clutter, has negatively affected customers’ attitudes about Walmart’s variety and brand selection.
•Walmart isn’t well positioned for economic recovery. Price alone may not lure shoppers from competitors, as most believe Walmart lags on service, variety and quality.
•While overall sales have declined, customers are spending more in select departments including grocery, pet, health and beauty, baby products, and toys and games.
Source: Blueocean Market Intelligence