Walmart Earnings Show Growth in Advertising and E-Commerce
Walmart’s second-quarter sales grew 5.9%, while advertising, membership, and third-party marketplace businesses became important sources of growth and profit, and e-commerce fulfillment automation increased.
What are the key facts?
- 1Second-quarter sales grew 5.9%
- 2Advertising and membership fees supported profit
- 3More than half of e-commerce fulfillment volume handled by automated facilities
What happened?
According to reporting on the relevant earnings results, Walmart’s second-quarter sales increased 5.9% year over year. The report said Walmart’s growth was not driven solely by merchandise sales; digital advertising, membership fees, and third-party marketplace-related revenue also became important sources of revenue and profit. The company is also continuing to build automated warehouses and fulfillment facilities, with more than half of its e-commerce fulfillment volume handled through automated facilities. The report also noted that comparable-store sales growth slowed at some physical stores, while Walmart continued advancing digital advertising, third-party marketplace commissions, and supply chain automation. Together, these businesses form part of the shift in Walmart’s retail model, with marketplace e-commerce, advertising services, and fulfillment infrastructure all included among its business priorities.
What does this mean for cross-border sellers?
Walmart is placing its third-party marketplace, advertising, and automated fulfillment operations within the same growth system, so seller competition is no longer just about listing products. A common mistake is to transfer Amazon content without adapting it to Walmart’s traffic and fulfillment requirements, which can cause sellers to miss an opening on the channel. Highest-priority action: select a group of established products this week and conduct a small-scale test after checking catalog, inventory, and fulfillment capabilities.