New ClickZ Walmart Insights Newsletter - 09.19.2024

PLUS: Walmart's holiday toy list drops and dollar stores face unexpected challenges

Author

ClickZ
September 19, 2024

Specialty Bites 🍪

Walmart is making strides in fashion, launching the Walmart Style Tour to showcase its new apparel collections. Highlighting collaborations with designer Brandon Maxwell, the tour aims to deepen customer connections through urban activations and digital engagement. Walmart's fashion efforts are resonating, attracting new and affluent customers.

Big names like Walmart and even the US Police are diving headfirst into the VR pool for workforce training. According to a Wall Street Journal report, these giants are shelling out six figures for VR headsets, but hey, it's still cheaper than the old-school methods. Who knew strapping on a headset could save you a buck or two?

Virtual reality, despite being around for ages, only became mainstream for consumers and businesses in the last decade or so. And now, it's all the rage. Companies are either creating their own VR content or outsourcing it, with headsets from Meta, HTC, Pico, Apple, and Lenovo. It's like a tech buffet out there.

Take UPS, for instance. They're using VR to teach drivers how to stack packages and fend off dog attacks. Meanwhile, Walmart is all about those soft skills, training employees to show empathy to irate customers. Because nothing says "I understand your frustration" like a virtual hug, right?

Even the police are getting in on the action, using VR to train officers on weapon use and civilian interactions. And let's not forget harassment training—because experiencing someone else's shoes in VR beats watching a cheesy video any day. So, welcome to the future, folks. It's virtual, and it's here to stay.

Walmart unveils its 2024 Top Toys List, featuring 66 trending toys, including an exclusive Barbie World collection. With 25 toys priced under $25, Walmart ensures affordability and variety. The list includes popular brands like Disney, LEGO, and Hot Wheels, offering a magical and budget-friendly holiday shopping experience.

Industry Appetisers 🥨

Dollar stores, traditionally resilient in tough times, are now struggling. Dollar General and Dollar Tree saw weaker sales, with low-income customers feeling the pinch of inflation. Meanwhile, Walmart and other discounters are capturing more market share. Dollar stores are adopting new strategies, like markdowns and diversified product offerings, to regain shoppers.

Dollar store consumers, especially lower-income households, are struggling financially, relying on credit cards for necessities. Retailers like Dollar General and Dollar Tree are focusing on promotions, but middle- and high-income consumers are cutting back. Mass retailers like Walmart are gaining market share, particularly through strong digital sales.

Performance Platters 🍽️

Fospha's latest report, "The State of E-Commerce H2 2024", reveals crucial trends that will shape your marketing strategy. What's inside:

 📱 How the major platforms' KPIs have trended in 2024, and where you should be investing. 

 🚀 How to access Paid Social's huge scaling potential. 

✨ The most effective Google channel of 2024.

🎯 Full-funnel strategies for Meta, TikTok and Snapchat

 Let's break down the platform-specific insights: 

  • TikTok: Emerging as a powerhouse for efficient new customer acquisition 

  • Meta: Maintaining strong performance with competitive CAC 

  • Snapchat: Experiencing rapid growth, particularly effective during peak shopping periods 

These findings underscore how impactful platforms like Meta, TikTok and Snapchat continue to be for driving sales - yet how underinvested they remain. It's incredible to see that brands can triple spend in Paid Social before becoming unprofitable. Success now lies in diversifying across the entire funnel, understanding the nuances of each platform, and continuously optimizing to unlock more scaling potential.

Jamie Bolton, VP Growth at Fospha

WPP and Coca-Cola topped the 2024 Cannes Lions creative charts, with Coca-Cola winning 17 awards. WPP was named Creative Company of the Year. Heineken and Apple followed in the rankings. The United States was the most creative country. The LIONS Creativity Report highlights impactful creativity driving growth.

Shopify partners with Roblox to integrate in-game shopping, allowing brands to sell physical items directly within the game. This collaboration targets Roblox's 80 million daily users, with a full launch in 2025. Shopify's president highlights the endless possibilities, emphasizing the future of immersive commerce in the digital world.

ClickZ is a Contentive publication in the DTC Ecommerce division