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Can Walmart Win High-Income Home Shoppers? | Fast Five Shorts · Omni Talk Retail

• 0:00
  Walmart
• 0:00
  is
• 0:00
  leaning
• 0:01
  into
• 0:01
  trendier,
• 0:02
  more
• 0:02
  upscale
• 0:03
  home
• 0:03
  goods
• 0:03
  as
• 0:03
  part
• 0:04
  of
• 0:04
  its
• 0:04
  push
• 0:04
  to
• 0:04
  attract
• 0:05
  more
• 0:05
  high
• 0:06
  income
• 0:06
  shoppers
• 0:07
  and
• 0:07
  better
• 0:07
  compete
• 0:08
  with
• 0:08
  Amazon.
• 0:08
  According
• 0:09
  to
• 0:09
  the
• 0:09
  Wall
• 0:09
  Street
• 0:09
  Journal,
• 0:10
  items
• 0:10
  now
• 0:10
  include
• 0:11
  an
• 0:11
  ochre
• 0:11
  velvet
• 0:12
  swivel
• 0:12
  chair
• 0:13
  for
• 0:13
  $238,
• 0:15
  a
• 0:15
  $1600
• 0:16
  DeLonghi
• 0:17
  espresso
• 0:18
  machine
• 0:19
  and
• 0:19
  a
• 0:19
  $79
• 0:20
  lavender
• 0:21
  crock
• 0:21
  pot
• 0:22
  showing
• 0:22
  Walmart's
• 0:23
  move
• 0:23
  up
• 0:23
  the
• 0:24
  value
• 0:24
  chain.
• 0:24
  Apparently,
• 0:25
  apparently
• 0:25
  that's
• 0:26
  all
• 0:26
  it
• 0:26
  takes
• 0:26
  to
• 0:26
  move
• 0:26
  up
• 0:26
  the
• 0:27
  value
• 0:27
  chain
• 0:27
  is
• 0:27
  an
• 0:27
  ochre
• 0:28
  velvet
• 0:28
  swivel
• 0:29
  chair.
• 0:29
  Amazon's
• 0:30
  share
• 0:30
  of
• 0:31
  the
• 0:31
  U.S.
• 0:31
  furniture
• 0:32
  and
• 0:32
  home
• 0:32
  furnishings
• 0:32
  market
• 0:33
  hit
• 0:33
  20%
• 0:34
  as
• 0:34
  of
• 0:34
  last
• 0:34
  fall,
• 0:35
  more
• 0:35
  than
• 0:35
  double
• 0:35
  its
• 0:35
  9%
• 0:36
  share
• 0:36
  in
• 0:36
  2019.
• 0:38
  Walmart's
• 0:38
  share
• 0:39
  fell
• 0:39
  to
• 0:39
  7%,
• 0:40
  down
• 0:40
  from
• 0:41
  9.3%
• 0:42
  in
• 0:43
  the
• 0:43
  same
• 0:44
  period.
• 0:44
  Walmart
• 0:45
  has
• 0:45
  been
• 0:45
  revamping
• 0:46
  its
• 0:46
  home
• 0:46
  goods
• 0:46
  since
• 0:47
  identifying
• 0:47
  it
• 0:47
  as
• 0:47
  an
• 0:48
  area
• 0:48
  for
• 0:48
  improvement
• 0:49
  nearly
• 0:49
  a
• 0:49
  decade
• 0:50
  ago,
• 0:50
  bringing
• 0:50
  in
• 0:50
  brands
• 0:51
  like
• 0:51
  Yankee
• 0:51
  Candle,
• 0:52
  Nespresso
• 0:53
  and
• 0:53
  Drew
• 0:53
  Barrymore's
• 0:54
  Beautiful
• 0:54
  line.
• 0:55
  The
• 0:55
  retailer's
• 0:56
  internal
• 0:56
  research
• 0:57
  shows
• 0:57
  shoppers
• 0:58
  equate
• 0:58
  stylish
• 0:58
  designs
• 0:59
  with
• 0:59
  better
• 0:59
  quality.
• 1:00
  And
• 1:00
  the
• 1:00
  strategy
• 1:01
  aims
• 1:01
  to,
• 1:01
  quote,
• 1:02
  democratize
• 1:03
  style,
• 1:03
  end
• 1:04
  quote,
• 1:04
  while
• 1:05
  improving
• 1:05
  margins
• 1:06
  beyond
• 1:06
  its
• 1:06
  tight
• 1:07
  margin
• 1:07
  grocery
• 1:07
  business.
• 1:08
  Chris,
• 1:08
  do
• 1:09
  you
• 1:09
  think
• 1:09
  consumers
• 1:10
  will
• 1:10
  shop
• 1:10
  Walmart
• 1:11
  for
• 1:11
  high
• 1:12
  end
• 1:12
  espresso
• 1:12
  machines,
• 1:13
  ochre
• 1:13
  swivel
• 1:14
  chairs
• 1:14
  and
• 1:14
  lavender
• 1:15
  crock
• 1:15
  pots?
• 1:17
  Yeah,
• 1:17
  believe
• 1:17
  it
• 1:17
  or
• 1:17
  not,
• 1:17
  I
• 1:17
  actually
• 1:18
  do.
• 1:18
  And
• 1:18
  actually
• 1:18
  when
• 1:18
  you
• 1:19
  read
• 1:19
  the
• 1:19
  statistics
• 1:19
  like
• 1:19
  that,
• 1:19
  it
• 1:20
  actually
• 1:20
  makes
• 1:20
  me
• 1:20
  go,
• 1:20
  Jesus,
• 1:21
  I,
• 1:21
  I'd
• 1:21
  love
• 1:21
  a
• 1:21
  chance
• 1:22
  to
• 1:22
  run
• 1:22
  the
• 1:22
  home
• 1:22
  furnishings
• 1:23
  business
• 1:23
  at
• 1:23
  Walmart
• 1:23
  like
• 1:23
  I
• 1:23
  did
• 1:24
  for
• 1:24
  Target.
• 1:24
  Like
• 1:25
  there's
• 1:25
  a
• 1:25
  lot,
• 1:25
  lot
• 1:26
  happening
• 1:26
  here.
• 1:26
  So
• 1:27
  you
• 1:27
  know,
• 1:27
  we
• 1:28
  said
• 1:28
  at
• 1:28
  the
• 1:28
  beginning
• 1:28
  that,
• 1:29
  you
• 1:29
  know,
• 1:29
  everything
• 1:29
  always
• 1:29
  comes
• 1:30
  down
• 1:30
  to
• 1:30
  money.
• 1:30
  Well,
• 1:30
  the
• 1:31
  sibling
• 1:31
  of
• 1:31
  that
• 1:31
  is
• 1:32
  everything
• 1:32
  always
• 1:32
  comes
• 1:32
  down
• 1:33
  to
• 1:33
  price.
• 1:33
  And
• 1:34
  E
• 1:34
  Commerce
• 1:34
  and
• 1:34
  home
• 1:35
  is
• 1:35
  a
• 1:35
  search
• 1:35
  game.
• 1:36
  I
• 1:36
  know
• 1:36
  that
• 1:36
  firsthand.
• 1:37
  The
• 1:37
  best
• 1:37
  price
• 1:38
  always
• 1:38
  wins
• 1:39
  out.
• 1:39
  And
• 1:40
  I
• 1:40
  can
• 1:40
  remember
• 1:40
  fighting
• 1:41
  perceptions
• 1:42
  like
• 1:42
  this.
• 1:42
  Like
• 1:42
  the
• 1:43
  article
• 1:43
  describes
• 1:44
  when
• 1:44
  I
• 1:44
  was
• 1:44
  running
• 1:45
  home
• 1:45
  furnishings
• 1:45
  for
• 1:46
  Target.com
• 1:47
  and
• 1:47
  people
• 1:48
  thought
• 1:48
  I
• 1:48
  was
• 1:48
  nuts
• 1:49
  for
• 1:49
  selling
• 1:49
  $5,000
• 1:50
  sofas
• 1:51
  via
• 1:51
  Dropship.
• 1:52
  But
• 1:52
  then
• 1:52
  you
• 1:52
  know
• 1:52
  what?
• 1:52
  We
• 1:53
  sold
• 1:53
  one
• 1:53
  and
• 1:54
  then
• 1:54
  we
• 1:54
  sold
• 1:54
  more
• 1:55
  and
• 1:55
  more
• 1:55
  and
• 1:56
  more
• 1:56
  and
• 1:56
  more
• 1:57
  and
• 1:57
  by
• 1:57
  the
• 1:57
  time,
• 1:58
  at
• 1:58
  that
• 1:58
  time
• 1:58
  we
• 1:58
  were
• 1:58
  winning
• 1:59
  because,
• 2:00
  because
• 2:00
  of
• 2:00
  the
• 2:00
  Target
• 2:00
  brand
• 2:01
  and
• 2:01
  what
• 2:01
  it
• 2:01
  represented
• 2:02
  to
• 2:02
  people
• 2:02
  and
• 2:02
  the
• 2:03
  extra
• 2:03
  5%
• 2:04
  off
• 2:04
  you
• 2:04
  got
• 2:04
  from
• 2:04
  red
• 2:05
  card
• 2:05
  savings.
• 2:05
  So
• 2:05
  there
• 2:06
  was
• 2:06
  a
• 2:06
  huge
• 2:06
  value
• 2:07
  play
• 2:07
  and
• 2:07
  so
• 2:08
  Walmart
• 2:08
  can
• 2:08
  do
• 2:08
  the
• 2:09
  very
• 2:09
  same
• 2:09
  thing
• 2:09
  with
• 2:09
  Walmart
• 2:10
  plus
• 2:10
  but
• 2:11
  now
• 2:11
  also
• 2:11
  with
• 2:12
  2026
• 2:13
  E
• 2:13
  commerce
• 2:13
  principles
• 2:14
  at
• 2:14
  its
• 2:14
  back,
• 2:15
  particularly
• 2:15
  with
• 2:15
  its
• 2:15
  incredible
• 2:16
  available
• 2:17
  to
• 2:17
  promise
• 2:17
  shipping
• 2:18
  speeds
• 2:18
  and
• 2:18
  capabilities.
• 2:19
  So
• 2:20
  yes,
• 2:20
  yes,
• 2:21
  100%,
• 2:22
  this
• 2:22
  is
• 2:22
  all
• 2:22
  just
• 2:23
  low
• 2:23
  hanging
• 2:23
  fruit
• 2:24
  in
• 2:24
  my
• 2:24
  mind
• 2:24
  for
• 2:24
  Walmart
• 2:25
  and
• 2:25
  they're
• 2:25
  smart
• 2:26
  to
• 2:26
  go
• 2:26
  after
• 2:26
  it,
• 2:27
  particularly
• 2:28
  when
• 2:28
  you
• 2:28
  cite
• 2:28
  those
• 2:28
  share
• 2:29
  numbers
• 2:29
  that
• 2:29
  you
• 2:29
  just
• 2:29
  did.
• 2:30
  Yeah,
• 2:30
  I
• 2:30
  mean
• 2:31
  I
• 2:31
  think
• 2:31
  it
• 2:31
  goes
• 2:31
  back
• 2:31
  to
• 2:32
  what
• 2:32
  we
• 2:32
  were
• 2:32
  talking
• 2:32
  about
• 2:32
  at
• 2:33
  the
• 2:33
  beginning
• 2:33
  of
• 2:33
  the
• 2:33
  show.
• 2:33
  Chris,
• 2:34
  with
• 2:34
  ChatGPT.
• 2:36
  People
• 2:36
  are
• 2:36
  using
• 2:37
  these
• 2:37
  search
• 2:38
  engines
• 2:39
  to
• 2:39
  get
• 2:39
  information
• 2:40
  about
• 2:40
  products
• 2:41
  to
• 2:41
  figure
• 2:41
  out
• 2:42
  what's
• 2:42
  going
• 2:42
  to
• 2:42
  fit
• 2:43
  in
• 2:43
  their
• 2:43
  house.
• 2:43
  I
• 2:44
  mean,
• 2:44
  do
• 2:44
  customers
• 2:45
  care
• 2:45
  at
• 2:45
  the
• 2:45
  end
• 2:46
  of
• 2:46
  the
• 2:46
  day,
• 2:46
  whatever
• 2:47
  ChatGPT
• 2:47
  or
• 2:48
  Gemini
• 2:48
  spit
• 2:49
  out
• 2:49
  about
• 2:49
  the
• 2:49
  espresso
• 2:50
  machine,
• 2:50
  do
• 2:50
  they
• 2:50
  care
• 2:51
  where
• 2:51
  they
• 2:51
  buy
• 2:51
  it
• 2:52
  from?
• 2:52
  No,
• 2:52
  it's
• 2:53
  coming
• 2:53
  down
• 2:53
  to
• 2:54
  where
• 2:54
  can
• 2:54
  I
• 2:54
  get
• 2:54
  this
• 2:55
  the
• 2:55
  quickest
• 2:56
  or
• 2:56
  most
• 2:56
  conveniently
• 2:57
  on
• 2:57
  my
• 2:58
  terms
• 2:58
  for
• 2:58
  the
• 2:59
  best
• 2:59
  price
• 2:59
  possible.
• 3:00
  And
• 3:01
  might
• 3:01
  they
• 3:01
  be
• 3:01
  surprised
• 3:02
  that
• 3:02
  Walmart
• 3:02
  is
• 3:03
  that
• 3:03
  location?
• 3:04
  Possibly.
• 3:05
  But
• 3:05
  then
• 3:05
  you
• 3:05
  have
• 3:05
  to
• 3:06
  look
• 3:06
  at
• 3:06
  all
• 3:06
  the
• 3:06
  other
• 3:06
  things
• 3:07
  that
• 3:07
  come
• 3:07
  into
• 3:07
  play
• 3:08
  from
• 3:08
  buying
• 3:08
  something
• 3:09
  like
• 3:09
  this
• 3:09
  from
• 3:09
  Walmart
• 3:10
  too.
• 3:10
  You,
• 3:10
  you
• 3:10
  have
• 3:10
  4,000
• 3:11
  locations
• 3:12
  across
• 3:12
  the
• 3:12
  lift.
• 3:13
  Something
• 3:13
  goes
• 3:13
  wrong,
• 3:14
  you
• 3:14
  can
• 3:14
  return
• 3:14
  that
• 3:15
  simply.
• 3:15
  What
• 3:15
  does
• 3:16
  that
• 3:16
  look
• 3:16
  like
• 3:16
  for
• 3:16
  Amazon
• 3:17
  or
• 3:17
  Wayfair?
• 3:18
  No,
• 3:18
  not
• 3:18
  good,
• 3:19
  Not
• 3:19
  a
• 3:19
  good
• 3:20
  experience.
• 3:20
  I'm
• 3:21
  waiting
• 3:21
  in
• 3:21
  line
• 3:21
  to
• 3:21
  do
• 3:21
  that.
• 3:22
  They
• 3:22
  there's
• 3:23
  a
• 3:23
  lot
• 3:23
  more
• 3:24
  to
• 3:24
  this
• 3:24
  that
• 3:25
  I
• 3:25
  think
• 3:25
  Walmart
• 3:26
  stands
• 3:26
  to
• 3:26
  gain
• 3:27
  for
• 3:27
  little
• 3:28
  to
• 3:28
  no
• 3:28
  risk
• 3:28
  for
• 3:29
  them
• 3:29
  to
• 3:29
  start
• 3:29
  to
• 3:29
  carry
• 3:30
  out.
• 3:30
  And
• 3:30
  I
• 3:30
  think
• 3:30
  we're
• 3:31
  already
• 3:31
  starting
• 3:31
  to
• 3:31
  see
• 3:32
  customers
• 3:32
  getting
• 3:33
  more
• 3:33
  familiar
• 3:33
  with
• 3:33
  this
• 3:34
  with
• 3:34
  some
• 3:34
  of
• 3:34
  the
• 3:34
  partnerships
• 3:35
  that
• 3:35
  they
• 3:35
  did
• 3:35
  last
• 3:35
  year,
• 3:36
  they
• 3:36
  announced
• 3:36
  last
• 3:36
  year
• 3:36
  with
• 3:37
  Rebag
• 3:37
  and
• 3:37
  stuff,
• 3:38
  Stockax
• 3:38
  and
• 3:39
  other
• 3:39
  who
• 3:39
  Knew
• 3:40
  categories.
• 3:40
  I
• 3:40
  mean
• 3:40
  their
• 3:40
  whole
• 3:41
  who
• 3:41
  Knew
• 3:41
  campaign
• 3:42
  was
• 3:42
  you
• 3:42
  can
• 3:42
  get
• 3:42
  a
• 3:43
  sauna
• 3:43
  from
• 3:43
  Walmart,
• 3:44
  who
• 3:44
  Knew.
• 3:44
  But
• 3:45
  it
• 3:45
  works.
• 3:45
  And
• 3:46
  if
• 3:46
  it
• 3:46
  doesn't
• 3:46
  work,
• 3:47
  you
• 3:47
  have
• 3:47
  a
• 3:47
  lot
• 3:48
  of
• 3:48
  convenient
• 3:48
  options
• 3:49
  to
• 3:49
  remedy
• 3:50
  that.
• 3:50
  And
• 3:51
  so
• 3:51
  I
• 3:51
  think
• 3:51
  this
• 3:52
  is
• 3:52
  a
• 3:52
  brilliant
• 3:53
  move.
• 3:53
  And
• 3:53
  if
• 3:53
  I
• 3:54
  were
• 3:54
  Walmart,
• 3:54
  I'd
• 3:54
  continue
• 3:55
  to
• 3:55
  push
• 3:55
  this,
• 3:56
  especially
• 3:56
  as
• 3:57
  they
• 3:57
  have
• 3:57
  more
• 3:57
  and
• 3:57
  more
• 3:58
  high
• 3:58
  income
• 3:58
  consumers
• 3:59
  who
• 4:00
  are
• 4:00
  interested
• 4:01
  in
• 4:01
  the
• 4:01
  products
• 4:01
  that
• 4:01
  they
• 4:02
  have
• 4:02
  to
• 4:02
  have
• 4:02
  and
• 4:02
  especially
• 4:03
  in
• 4:03
  home
• 4:04
  and
• 4:04
  fashion
• 4:04
  categories.
• 4:05
  So
• 4:05
  I
• 4:05
  think
• 4:06
  it's
• 4:06
  a
• 4:06
  really
• 4:06
  smart
• 4:07
  move.
• 4:07
  Oh
• 4:07
  my
• 4:08
  God,
• 4:08
  you
• 4:08
  just
• 4:08
  gave
• 4:08
  me
• 4:08
  like
• 4:08
  Vietnam
• 4:09
  like
• 4:09
  flashbacks
• 4:10
  and
• 4:10
  to
• 4:10
  my
• 4:11
  days
• 4:11
  at
• 4:11
  Target
• 4:11
  when
• 4:11
  I
• 4:11
  was
• 4:12
  like
• 4:12
  saying
• 4:12
  the
• 4:12
  exact
• 4:13
  same
• 4:13
  thing
• 4:13
  that
• 4:14
  you
• 4:14
  just
• 4:14
  said
• 4:14
  about
• 4:14
  returns
• 4:15
  and
• 4:15
  everything
• 4:15
  to
• 4:16
  the
• 4:16
  leadership
• 4:16
  in
• 4:17
  the
• 4:17
  board
• 4:17
  was
• 4:17
  being
• 4:17
  like,
• 4:18
  this
• 4:18
  is
• 4:18
  why
• 4:18
  we
• 4:18
  need
• 4:18
  to
• 4:19
  do
• 4:19
  this
• 4:19
  guys,
• 4:19
  because
• 4:20
  it
• 4:20
  makes
• 4:20
  sense
• 4:21
  strategically.
• 4:22
  And
• 4:22
  now
• 4:22
  here
• 4:22
  we
• 4:22
  are
• 4:23
  talking
• 4:23
  about
• 4:24
  it
• 4:24
  again.
• 4:24
  And
• 4:24
  you're
• 4:24
  right,
• 4:25
  like,
• 4:25
  I
• 4:25
  mean
• 4:25
  you've
• 4:26
  got,
• 4:27
  the
• 4:27
  studies
• 4:27
  have
• 4:27
  already
• 4:28
  shown
• 4:28
  that
• 4:28
  people
• 4:28
  are
• 4:28
  using
• 4:29
  Walmart
• 4:30
  and
• 4:30
  Walmart
• 4:30
  plus
• 4:30
  to
• 4:31
  buy
• 4:31
  their
• 4:31
  groceries.
• 4:31
  Walmart's
• 4:32
  winning
• 4:32
  with
• 4:32
  the
• 4:32
  100
• 4:32
  plus
• 4:33
  hundred
• 4:33
  thousand
• 4:34
  plus
• 4:34
  household
• 4:34
  income
• 4:35
  crowd.
• 4:35
  So
• 4:35
  like,
• 4:35
  yeah,
• 4:36
  if
• 4:36
  they
• 4:36
  can
• 4:36
  find
• 4:36
  a
• 4:37
  cheaper
• 4:37
  option
• 4:38
  here,
• 4:38
  they're
• 4:38
  gonna
• 4:39
  do
• 4:39
  it
• 4:39
  like
• 4:39
  this.
• 4:40
  It's
• 4:40
  just
• 4:40
  no
• 4:40
  brainer.