The Click and Mortar World

Walmart at 8500 Golf Road, NIles. PhotoPat Krochmal

The war of Traditional Media v/s Digital has surfaced again with Walmart v/s Amazon Prime. Except that that is the Game of Thrones with the Game of Drones (Yes, I hope you are all as excited about Amazon’s Drones).  Walmart, the largest retailer in America, is developing a subscription program to directly face-off against Amazon Prime.

For just $50 a year, Walmart will offer unlimited free shipping on items purchased from its online store, a bargain compared to Amazon Prime’s $99. However, the only benefit to the service will be unlimited free shipping, with delivery guaranteed in three days or less. However, because free shipping continues to be the most popular and effective sales closer in the online retail space and because Walmart shoppers are typically thrifty, the upcoming service could be mega-popular.

Nothing exists in isolation and e-commerce can never flourish if they don’t get the basics right – Pricing, Pricing, Pricing (and the other 3P’s). Walmart has already challenged Amazon; so all we need to ask Amazon is – Do you accept?

This post was written in collaboration with Tom Caporaso, CEO of Clarus Marketing Group, a company that builds subscription e-commerce programs similar to Amazon Prime.

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