Current:Home > NewsWalmart is shifting to digital prices across the chain's 2,300 stores. Here's why.-LoTradeCoin
Walmart is shifting to digital prices across the chain's 2,300 stores. Here's why.
View Date:2024-12-24 00:41:16
Walmart shoppers will soon be checking prices on electronic shelf labels, with the nation's largest retailer saying it will shift to digital price technology from its current paper stickers throughout its 2,300 U.S. stores by 2026.
Walmart stores have more than 120,000 products on their shelves, each with an individual paper price tag. Each week, Walmart workers add price tags on new items, rollbacks and markdowns, a time-consuming and repetitive process.
The digital shelf label technology will allow Walmart employees to update prices with a mobile app, rather than walking around the store and swapping out paper tags by hand. What used to take a Walmart employee two days will now take a few minutes to complete, the company said.
The transition "represents a significant shift in how I, and other store associates, manage pricing, inventory, order fulfillment and customer interactions, ensuring our customers enjoy an even better shopping experience," Daniela Boscan, a Walmart employee who took part in testing the technology at a Walmart in Grapevine, Texas, said in a news release.
No plans for surge pricing
Walmart told CBS MoneyWatch that it would not use the technology for dynamic or surge pricing, when retailers or other businesses quickly change the cost of products or services based on fluctuations in demand due to weather, traffic or other issues.
"It is absolutely not going to be 'one hour it is this price and the next hour it is not,'" Greg Cathey, senior vice president of transformation and innovation at Walmart, said in a statement.
Wendy's in February came under fire in announcing plans to use dynamic pricing, but sought to reassure patrons it would be used to offer discounts and not to hike prices when demand is high.
"I do not think we will see Walmart introduce dynamic pricing anytime soon," Neil Saunders, managing director of GlobalData's retail division, told CBS MoneyWatch. "A lot of shoppers use Walmart because it has low prices, and Walmart has worked very hard to establish trust with the customer," said the analyst, noting that might be jeopardized if people saw the retailer's prices fluctuate sharply.
The main reason Walmart is switching to digital price tag is to cut costs, Saunders said, noting the substantial labor hours associated with manually changing prices on so many products across thousands of stores.
Walmart concurred with Saunders' assessment, saying "this efficiency allows associates to spend more time attending to customers and ensuring their needs are met, thereby elevating the level of customer service at the stores."
- In:
- Walmart
Kate Gibson is a reporter for CBS MoneyWatch in New York, where she covers business and consumer finance.
veryGood! (53481)
Related
- 1 dead, 2 children injured in wrong-way crash; driver suspected of DWI: Reports
- Bobby Bones Reacts to Julianne Hough Disagreeing With Dancing With the Stars Win
- Here’s How Often the Sheets in the Love Island USA Villa Are Really Changed
- What happens when our Tesla Model Y's cameras can't see? Nothing good.
- Charles Hanover: Caution, Bitcoin May Be Entering a Downward Trend!
- What do grocery ‘best by’ labels really mean?
- Taylor Swift and her mom meet Southport stabbing victims backstage at Eras Tour
- Mamie Laverock is out of hospital care following 5-story fall: 'Dreams do come true'
- Research reveals China has built prototype nuclear reactor to power aircraft carrier
- 'It's happening': Mike Tyson and Jake Paul meet face to face to promote fight (again)
Ranking
- 2 striking teacher unions in Massachusetts face growing fines for refusing to return to classroom
- Political newcomers seek to beat U.S. House, Senate incumbents in Wyoming
- Value meal wars heat up as more fast food spots, restaurants offer discounted menu items
- Ryan Reynolds Shares How Deadpool & Wolverine Honors Costar Rob Delaney's Late Son Henry
- Champions Classic is for elite teams. So why is Michigan State still here? | Opinion
- Matt Gaetz and Rick Scott face challengers in Florida primaries
- Ford, General Motors among 221,000 vehicles recalled: Check car recalls here
- Michael Madsen arrested on domestic battery charge after alleged 'disagreement' with wife
Recommendation
-
How to protect your Social Security number from the Dark Web
-
Another Braves calamity: Austin Riley has broken hand, out for rest of regular season
-
Bama Rush: Recruits celebrate sorority fanfare with 2024 Bid Day reveals
-
Judge allows transgender New Hampshire girl to play soccer as lawsuit challenges new law
-
2 weeks after Peanut the Squirrel's euthanasia, owner is seeking answers, justice
-
DeSantis-backed school board candidates face off in Florida
-
'DWTS' 2018 winner Bobby Bones agrees with Julianne Hough on his subpar dancing skills
-
What is the most expensive dog? This breed is the costliest