Walmart plots October sales event to compete with Target, Amazon

Dive Brief:

• Walmart plans to launch its holiday shopping season “weeks earlier than previous years,” the company said in a Thursday press release. Its first Walmart Holiday Deals event will take place in-store and online from Oct. 8 through Oct. 13.
• Walmart+ members will get early access to shop the deals online and through the app starting at 12 a.m. EST on Oct. 8. The deals will open to everyone online and in the app at 12 p.m. EST on Oct. 8 and in stores at the local opening time on Oct. 9. 
• The retailer said the early start is a response to how price-conscious consumers are shopping right now. The company cited a Bankrate survey that found nearly half of consumers will start their holiday shopping before Halloween.

Dive Insight:

Walmart’s isn’t alone this year in promoting an early start for holiday shopping. Its upcoming sales event will partly overlap with rival Target’s Circle Week and Amazon’s Prime Big Deal Days. Target announced just a few days ago that its promotion is set to run Oct. 6 through Oct. 12, while Amazon’s is planned for Oct. 8 and Oct. 9.

The Arkansas-based retailer’s six-day sales event will offer savings across electronics, home, fashion and toys from Walmart-owned and marketplace assortments. For the upcoming season, the retailer teased brands like Disney and Barbie, home and fashion products for less than $5, and seasonal decor.

Walmart also touted the recently expanded offering on its marketplace, which now features sneakers from StockX, premium beauty, pre-owned items and collectibles. Also growing this year are Walmart’s delivery capabilities, with 12 million additional households falling within Walmart’s delivery scope, the retailer said. The retailer will offer early morning delivery starting at 6 a.m. and express delivery in as little as 30 minutes. 

As others make seasonal hiring announcements, Walmart said it’s been hiring associates throughout the year. Current employees will get the first opportunity to work extra hours. Everyone, however, will get a break on Thanksgiving Day, as all Walmart stores will be closed.

For many retailers, the holidays are the most wonderful and most stressful time of the year, with consumer spending making up 25% to 35% of annual sales, according to a Gordon Brothers client analysis. The firm forecasts U.S. retail sales for the upcoming holiday season will be up just 1.2% to 3.5%. They attributed the modest rise compared to last year to ongoing economic and political uncertainty. 

“Not only is the U.S. election concerning consumers and increasing advertising costs, but Thanksgiving is late in the 2024 calendar year so there is nearly one less week between Black Friday and Christmas,” Alexa Driansky, a managing director at Gordon Brothers, said in the note. “As a result, retailers will feel even more pressure this year due to a major holiday sales time crunch.”