September 09, 2009

Walmart- The Empire Strikes Back

Well it appears that the rebel's attack on the empire did not succeed and now they are striking back.

Time reports that Walmart has unveiled its very own Deathstar, called Project Impact.
"One goal of Project Impact is cleaner, less cluttered stores that will improve the shopping experience. Another is friendlier customer service. A third: home in on categories where the competition can be killed. "They've got Kmart ready to take a standing eight-count next year," says retail consultant Burt Flickinger III, managing director for Strategic Resources Group and a veteran Walmart watcher. "Same with Rite Aid. They've knocked out four of the top five toy retailers, and are now going after the last one standing, Toys "R" Us. Project Impact will be the catalyst to wipe out a second round of national and regional retailers."
So what does one of these stores look like? Let's save the goofy photos for a moment and return to the article:

"One recent weekday afternoon I toured a brand new, 210,000-sq.-ft. Walmart in West Deptford, N.J., with Lance De La Rosa, the company's Northeast general manager. "We've listened to our customers, and they want an easier shopping experience," says De La Rosa. "We've brightened up the stores and opened things up to make it more navigable." One of the most noticeable changes is that Project Impact stores reshape Action Alley, the aisles where promotional items were pulled off the shelves and prominently displayed for shoppers. Those stacks both crowded the aisles and cut off sight lines. Now, the aisles are all clear, and you can see most sections of the store from any vantage point. For example, standing on the corner intersection of the auto-care and crafts areas, you can look straight ahead and see where shoes, pet care, groceries, the pharmacy and other areas are located. And the discount price tags are still at eye level, so the value message doesn't get lost.

"They are like roads," De La Rosa says proudly. "And look around, the customers are using them. We've already gotten feedback about the wider, more breathable aisles. Our shoppers love them."

The layout is also smarter. "You can kind of guess where everything is going to be," says Sharon Tilotta, 73, a shopper in the West Deptford store. The pharmacy, pet foods, cosmetics and health and beauty sections are now adjacent to the groceries. In the past, groceries and these other sections were often at opposite ends of the store, which made it more difficult for someone looking to pick up some quick consumables to get in and out of Walmart. "Under Project Impact, Walmart is providing more of a full supermarket experience within its walls," says Feldman."
I am not so sure that I like what I am reading. Competition is healthy. Sounds like they are going to force the smaller guys to work really hard on finding ways to maintain marketshare.

2 comments:

benning said...

I remember when the Largo Wal-Mart remodeled - I was still employed there - and the change was quite nice. Wider aisles, brighter atmosphere. Of course area management then replaced our old shopping carts with hew ones. And the new ones are huge.

They're also a lot heavier. No matter what step you take to improve a thing, some idiot will counter that to improve something else.

Yeesh!

Jack said...

That heavy shopping cart sounds like it is going to be a burden for some of the older shopppers.