As per reports, Walmart Inc. (WMT) is planning to expand its advertising business by adding space for its ads at its U.S. stores along with sharing its massive shopper data with brands. The retailer is looking to challenge its rival Amazon.com Inc. as a media powerhouse, with its vision of achieving a more than a tenfold increase in its advertising business within five years. Walmart also announced an expanded vision and new name for its media business, Walmart Connect, formerly known as Walmart Media Group. As per Reuter’s earlier report, Walmart’s annual advertising revenue was expected to be nearly $1 billion in 2020.
“This is about us really digging in and pivoting the business from one which was really focused on the search and display with our biggest suppliers. We want to continue to do that, leverage our physical properties, and find ways to help advertisers make better use of their dollars,” stated Walmart’s chief customer officer, Janey Whiteside.
The retailer is set to build a new advertising platform in partnership with an ad technology company, Trade Desk Inc. allowing brands to use Walmart’s vast shopper data to make ads more effective, even on websites and apps not owned by Walmart. Brands will now be able to target ads to audiences using Walmart’s data on consumer shopping behavior across varied categories and brands. Advertisers can then monitor sales inside Walmart stores in real-time and adjust the ad campaigns as needed. Walmart is betting that allowing brands to use its data on ads across streaming video or smart TVs will draw in more ad dollars.
The retailer will also use its brick-and-mortar stores to compete with online retailer Amazon and will sell ads on over 170,000 screens inside more than 4,500 U.S. stores, including TVs and self-checkout kiosks screens.
Walmart Stores, Inc. (WMT) is a worldwide retailer that operates in various formats. The three segments of the company include Walmart U.S., Walmart International, and Sam’s Club. The company is comprised of discount stores, supermarkets, supercenters, hypermarkets, warehouse clubs, cash and carry stores, home improvement stores, specialty electronics stores, apparel stores, drug stores, convenience stores, and membership-only warehouse clubs; and retail Websites. To learn more about Walmart (WMT) and to continue to track its progress please visit the Vista Partners Walmart Coverage Page.
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