COMMACK, N.Y. — Walmart’s computer
section may never be confused
with what Best Buy delivers, but the
mass merchant’s attempt
to broaden its selection
and overall appearance is
on the upswing.
The Project Impact
stores are geared toward
improved demonstration
and merchandising areas,
but few of the chain’s 3,500 U.S. locations
have so far been so upgraded.
The typical Walmart is dedicating,
on the average, about 25 feet of shelf
space in the CE section to computers,
peripherals and accessories. The
stores are carrying the major notebook
brands: Dell, Toshiba,
Hewlett-Packard and
Sony. On the desktop
side, the selection ranges
from Dell to eMachines,
with the majority of the
items in the low- to midprice
ranges.
The laptops are kept sealed under
glass for viewing, while the desktops remained boxed in many locations. This
is changing under the new format, with
each store increasing its SKU count and
making the units more accessible to the
customers.
“Project Impact is helping Walmart
portray itself as more robustly involved
in the PC business,” said Stephen Baker,
industry analysis VP for Th e NPD
Group.
In general, “moms” are Walmart’s
primary cutstomer, said Kevin O’Connor, Walmart’s consumer electronics
VP. While they are drawn to
the store because of the general product
assortment offered, Walmart
makes an effort to present PC products
to them in a manner befitting a
mom, he said.
O’Connor said the stores carry laptops
with prices ranging from entry level
to the $800 to $900 price range.
The desktops available tend to be
more moderately priced, although at
least one PC vendor believed Walmart
could go with more upscale desktops.
Lance McCullough, Dell’s product
group consumer product planner, was impressed with how the chain is constantly
attempting to improve its PC
assortment, and he thought there could
be a market for models like Dells latest
AMD six-core powered XPS desktops
in the store.
Walmart does not carry Apple computers,
although it has a full slate of
iPhone and iPods.
“We have no Macs. That’s Apple’s
decision. We have a good relationship
with Apple, and carry iPhone and
iPod, but Apple is not interested in selling
Macs to us,” said O’Connor.
Walmart is very interested to see
how other portable computer devices,
like netbooks and e-book readers, sell
in its stores.
“We will play in all technologies and
let the customer vote. I have no idea
how that will play out, but it will be interesting
to watch,” O’Connor said.
However, just adding more merchandise
and not making other changes in
how it sells does not mean it can seriously
compete with Best Buy and Fry’s,
said Baker.
He pointed out that the CE chains
heavily advertise their computer
products, something Walmart has
so far refrained from. Additionally,
Baker believes the typical Walmart
shopper probably needs some level of
floor-level assistance, which they will
not receive in a typical Walmart environment.
This could prove particularly troublesome
for those shopping for the
home networking and storage products
Walmart carries.
Abstract Web:
COMMACK, N.Y. — Walmart’s computer
section may never be confused
with what Best Buy delivers, but the
mass merchant’s attempt
to broaden its selection
and overall appearance is
on the upswing.