One of Walmart’s (NYSE:WMT) latest offerings at its SuperCenters isn’t a hot new toy, snack flavor or sundress. It’s advertising.
Shoppers will soon see more third-party ads on screens in Walmart self-checkout lanes and TV aisles; hear spots over the store’s radio; and be able to sample items at demo stations.
Walmart’s push into advertising resembles similar moves by retailers like Kroger (NYSE:KR), which struck a deal to bring digital smart screens to cooler aisles in hundreds of its stores, and Target (NYSE:TGT), which began testing in-store demos and giveaways, including a recent “Barbie” branded event with Mattel that took place at about 200 stores.
For Walmart, selling ad space to its wealth of existing partners is another way to capitalize on the company’s huge reach and to expand into higher-margin businesses. The discounter has nearly 4,700 stores across the U.S., with roughly 90% of Americans living within 10 miles of a Walmart store.
In the U.S., about 139 million customers visit Walmart stores and its website or app each week.
The company plans to ramp up in-store ads using its approximately 170,000 digital screens across its locations as well as 30-second radio spots that will be available to suppliers later this year and can target a specific store or region.
WMT shares inched up 28 cents to $160.14.
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