Walmart’s business surges as shoppers hunt for low prices

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The largest retailer in the United States has used its size and buying power to keep prices lower than competitors even as inflation has surged since the pandemic, retail analysts say.

New York — Businesses from McDonald’s to Home Depot are struggling to attract financially strapped shoppers. But Walmart is growing as consumers search for inexpensive groceries, essentials and other merchandise.

Groceries account for more than half of Walmart’s sales, and Walmart has benefited from its pricing advantage with prices around 25% lower than traditional supermarkets, according to analysts at Evercore IRI. Walmart is also making gains online. Its digital sales, which include in-store pickup and delivery, grew 22% last quarter.

 

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