Here’s How Wal-Mart Is Securing Stronger Sales Growth Next Year
Wal-Mart Stores (NYSE:WMT) met with investors and analysts in Arkansas on Tuesday, and the company had several interesting forecasts and developments to share.
According to Reuters, the world’s largest retailer now expects its overall sales to rise 1.9 percent to 3 percent this fiscal year, totaling $475 billion to $480 billion, and that reflects a jump from last year’s $466.11 billion. In addition, for fiscal 2015, Wal-Mart is targeting 3 percent to 5 percent growth, and the company believes its shifting sales sales strategies will help it do just that.
The retail giant said to analysts and investors Tuesday that it is now testing a new technique of using its supercenter stores as “cross docks” that supply nearby smaller stores, Reuters reports. The operation will help Wal-Mart cut transportation and storage costs and also ensure that it always has goods kept in stock.
The company’s U.S. chief executive, Bill Simon, maintained that his strategy to employ the “little mini warehouses” will roll out first in three markets in March and then appear in others if successful. The game plan won the support of Stewart Samuel, program director at IGD, who explained to Reuters, “I think it’s a fundamental shift in their real estate strategy to look at things market-by-market rather than store-by-store and it is a sophisticated development.”