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More than one in every four dollars spent by Americans last year on click-and-collect orders was spent at Walmart. The lead over number two, not even a competitor, is as impressive.
Over 20 billion dollars
According to estimates made by market research firm Insider Intelligence, Walmart accounted for 25.4 % of all click-and-collect orders in the United States in 2021. The retail giant generated 20.4 billion dollars (18 billion euros) in such sales.
Click-and-collect was used widely due to the coronavirus pandemic: it is a safe and fast way to purchase goods while keeping interaction with others to a minimum. It is expected that, over the next two years, click-and-collect sales in the United States will grow by about a fifth each year. CNBC even estimates that the threshold of 100 billion dollars (90 billion euros) will be exceeded this year.
Profitable
It is also an interesting sales channel for retailers: after all, it is a lot more profitable than regular e-commerce since the delivery costs get eliminated. Moreover, in-store employees can also be appointed as order pickers when necessary.
Nevertheless, home delivery still remains dominant in American e-commerce: according to the market research bureau, despite their rapid growth, click-and-collect orders barely account for around 11 % of all e-commerce sales by retailers.
Tripled
The fact that Walmart can take advantage of the pick-up trend is no coincidence: the supermarket chain is able to take full advantage of its extensive store network in the United States. Of the more than 4,700 stores, 3,700 now offer a click-and-collect service. Therefore, Walmart’s click-and-collect sales have almost tripled in the last two years, from 7.21 billion dollars in 2019 to 20.4 billion dollars last year.
The chain’s market share grew from 20.6 % to 25.4 % over the same period. No one even comes close: home improvement retailer chain Home Depot barely reached half of Walmart’s market share last year. Target, Best Buy and Lowe’s complete the top five.
