Walmart Is Trying To Compete With Amazon Prime Day By Lowering Prices
July 14, 2015
We are so ready for Amazon Prime Day (tomorrow–yayy!), and you know who else is too? Walmart. The retailer plans to mark down items in order to compete with the Amazon sale.
Starting Wednesday, Walmart is lowering the free shipping minimum for online purchases from $50 to $35 for at least 30 days. They will also offer discounts on thousands of items online.
Walmart is already known for their great deals for all customers, but Fernando Madeira, president and CEO of Walmart.com, doesn’t see any benefit in making their customers pay for better deals, as Prime members do. He writes in a blog post, “But the idea of asking customers to pay extra in order to save money just doesn’t add up for us.”
Amazon was clearly not happy with their competitors words and took the opportunity to fight back.”We’ve heard some retailers are charging higher prices for items in their physical stores than they do for the same items online,” said Greg Greeley, Vice-President of Amazon Prime in a statement released a few hours after Fernando’s blog post. “The idea of charging your in-store customers more than your online customers doesn’t add up for us, but it’s a good reminder that you’re usually better off shopping online.” He pointed out that non-members can still partake in the deals by signing up for a 30-day free trial of Prime.
Rivalry aside, Walmart announced back in May that they will be testing an unlimited free-shipping service for an annual fee of $50. The items will arrive in three days or less.