Speed up pace of change: Wal-Mart CEO
Fayetteville: Wal-Mart's CEO Doug McMillon said the world's largest retailer's task is to more quickly bring e-commerce together with physical stores to better serve shoppers.
At Wal-Mart Stores Inc.'s annual shareholders meeting on Friday, McMillon talked about a service that Wal-Mart offers at its Asda.Com Web site in the UK, where customers can order groceries online and then pick them up from trucks at various pickup points.
He also showed off miniature figures of executives to illustrate how some Wal-Mart stores have been using 3-D printers to create miniature figurines for customers in the UK.
"Our purpose of saving people money will always be relevant, but we'll do it in new ways," said McMillon, a 23-year-old Wal-Mart veteran who took over as CEO in February.
"We need to be at the forefront of innovation and technology."
McMillon's remarks come at a time when the retailer is seeking to address concerns over its declining sales and business practices at home and overseas.
About 14,000 Wal-Mart workers around the world attended the meeting, which as usual had celebrity entertainment: Actor Harry Connick Jr. Was master of ceremonies and Pharrell and Robin Thicke performed.
Despite the festivities, Wal-Mart is under scrutiny. Revenue at established Wal-Mart stores in the US has declined for five consecutive quarters. The number of customers has also fallen six quarters in a row at the division, which accounts for 60 per cent of the company's total sales.
Like many other retailers that cater to working-class Americans, Wal-Mart has been hurt by an uneven economic recovery that has benefited well-heeled shoppers more than those in the lower-income rungs.
Moreover, shoppers are increasingly looking for lower prices at online rivals like Amazon.Com and at dollar chains and pharmacies.
As a result, Wal-Mart is opening more small stores, like Walmart Express and Neighborhood Markets. It's also pushing online grocery services. It's also adding money transfers and other services to cater to low-income shoppers.
Meanwhile, Wal-Mart has more than tripled the number of items it sells online to more than 7 million from 2 million just 18 months ago.