[Walmart’s Mobile Checkout is gaining on Amazon]
“This has been an exciting year of transformation at Walmart. We’ve made strategic decisions revolving around the customer to reposition the business for sustainable growth to win long term...We’re moving with speed to provide customers with a better offer through stores, mobile and e-commerce, and we’re confident this will drive value for shareholders.”
- BRETT BIGGS, EXECUTIVE VICE PRESIDENT AND CHIEF FINANCIAL OFFICER, WAL-MART STORES, INC.
With 44% of online sales last year, Amazon is without question the dominant player in the e-commerce market. Recently, the challenger Walmart has been flexing its muscle in the conversion space boosting conversion rates up 45% while Amazon has only risen 16%. Walmart has shown a long-term commitment to providing a better shopping experience to its customer base that will adapt to changing customer expectations by focusing on the delivery of a seamless shopping experience across all channels, including mobile.
So what’s behind Walmart’s mobile conversion acceleration? It’s a clear alignment of their Checkout UX, customer base, and business goals. While there are hundreds of dimensions involved in the checkout experience, let’s take a look at the most prominent ones that differentiate Walmart and Amazon.
Walmart and Amazon handle guest checkout in contrasting styles: the former offers a clear guest checkout option while Amazon does not. This reflects Amazon’s commitment to maximizing user acquisition at the expense of converting inbound traffic. Walmart, placing a high premium on converting inbound traffic with a potentially hesitant user base, clearly shows the Norton Antivirus security logo, and the ‘keep me signed in’ option with an optional tool tip. These are both strong ways to build audience comfort by making clear the security practices used by the merchant.
Walmart and Amazon’s mobile checkout strategies reflect their different business models. This white paper dives into the key components the companies focus on to align the Checkout UX, customer base, and business goals:
- Focus on conversion
- Different Users = Different Experiences
- Guest Checkout, as explored above
- Displaying Cost
- One Call to Action Per Page
- Concise Content
For the retail industry, the story of these two competitors signifies the importance of actively managing the hundreds of dimensions involved in mobile checkout.