Walmart Powerpoint

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    11/10/2015

    McCombs Fall Case CompetitioRedefining the future of grocery retail

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    About us

    Alex Finley

    Corporate [email protected]

    Bora ManellariFinance and Reporting

    Global [email protected]

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    Agenda

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    Walmart - Overview

    4 Case Competition Prompt

    Walmart U.S. Strategy

    3 Walmart U.S. Grocery business

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    Walmart by the numbers

    260 Million11eCommerce websites customers per week

    72operating ban

    $485 Billionin revenue

    11,500+stores around the glob

    28operating countries

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    Our global footprint

    * Store count as of July 31, 2015

    Canada395

    Mexico2,303

    Brazil559

    Chile388

    Argentina108

    Central America692

    UK614

    China416

    India20

    Africa403

    USWalmart 4,588

    Sams 651

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    To win as an enterprise, we must execute ourcustomer proposition

    Lead on Price Invest to dion Ac

    Deliver a greatexperience

    Be comon Asso

    1

    4 3

    2

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    Our businesses

    Geography: US

    Net Sales: $58BClubs: 647Associates: ~110K

    Last year, we more than doubled

    our organic portfolio

    Geography: USNet Sales: $288BStores: 4,516

    Associates: ~1.2M

    Over the past two years, weve hired over

    80K veterans

    GeographyNet Sales:

    We increased walmart.com

    60% in FY15 (to 8M it

    GeographyNet Sales:Stores: 6,2

    Associates

    Last year, ASDA doubl

    click & collect site

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    Our businesses

    Geography: US

    Net Sales: $58BClubs: 647Associates: ~110K

    Last year, we more than doubled

    our organic portfolio

    Geography: USNet Sales: $288BStores: 4,516

    Associates: ~1.2M

    Over the past two years, weve hired over

    80K veterans

    GeographyNet Sales:

    We increased walmart.com

    60% in FY15 (to 8M it

    GeographyNet Sales:Stores: 6,2

    Associates

    Last year, ASDA doubl

    click & collect site

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    Walmart U.S.our ambitionRegain share and lead in the next generation of

    Compet ing o n pr ice alone is no long er enough

    We must f ix th e core and in vest for the future

    Assor tment

    and PriceExper ience Access

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    Improving experience by running better stores

    Return to serv ice basics

    Strengthen partnerships with Associates Improve store operatin

    Added depositions

    Aligning ssupport s

    Starting wages increased More choice in scheduling

    Enhanced training anddevelopment

    Fast FriendlyClean

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    Focus on improving Fresh and ensuring store and on

    strategies best serve customers

    Optimize assortment depth and breadth while helping

    stores run as efficiently as possible

    Utilize improved tools and capabilities to effectively

    EDLP with consistent execution across the busines

    Improving assortment

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    Innovating to provide access anytime, anywher

    Expanding eCommerce to

    grocery

    Integrating mobile into our

    stores and clubs

    Rein

    sup

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    We have a history of innovation

    Discountretail

    Grocery

    International

    eCommerce

    Wholesale

    W h hi t f i ti

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    International

    eCommerce

    Wholesale

    We have a history of innovation

    Discountretail Grocery

    Focus on fresh

    Improve private b Enhance conveni

    Today we must

    Wi i F h

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    Assortment

    Execution

    Processes

    Supply chain

    Win in Fresh

    Win in Fresh

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    Organics

    Win in Fresh

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    Private Brands

    Building customer

    loyalty

    Compete against harddiscounters

    Complement to

    national brands Increase market

    penetration

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    Convenience

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    Online Grocery

    Creating a SeamlessShopping Experience

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    Pickup

    Creating a SeamlessShopping Experience

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    Convenient

    Fast

    FreeI was in and out.

    Easy

    Pickup

    Creating a SeamlessShopping Experience

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    11/10/2015

    McCombs Fall Case CompetitioRedefining the future of grocery retail

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    Case challenge prompt 2015: Grocery competi

    in Walmart U.S.

    Situat ion

    The grocery industry is quickly evolving in order to meet customRetailers are challenged to find ways to stay relevant and engacustomers locally, through convenience, quality, and assortmenmaintaining a competitive pricing strategy.

    Compl icat ion: Competitors have been quickly innovating and stealing share fr Walmart faces pressure from deep discounters, e.g., Aldi, as w

    retailers offering more premium and convenient options Quest ion: What actions should Walmart take to better compete and rema

    competitive in the long-term with a local grocery competitor (e.gWhole Foods, Randalls, Sprouts Farmers Market)? Pick one

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    Thought star ters:

    What is Walmarts value proposition and brand? How can we better comp

    remaining true and reinforcing this position and brand?

    Who is our customer, and how do we increase both share of wallet and shmarket, i.e., growing with our existing base while simultaneously attractingcustomers? Be sure to fully understand our customer dynamics, it might bthan you think.

    Why do customers choose to shop at this competitor over Walmart? (Howcompetitor creating loyalty?) How can we appeal to this customer need w

    mind the above questions? Are there adjacent products/services we shou

    Are there any current Walmart initiatives that we should accelerate or impso, how? Conversely, are there any current Walmart initiatives that we sho

    How should we prioritize any new initiatives or programs you propose?

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    Q A