Forget McDonald’s: Walmart gets trendy new fast-food partner
Whether you prefer in-person shopping or online deals, chances are you’ve visited a superstore recently for everything from back-to-school supplies to electronics and groceries. With many Americans increasingly price-sensitive, shoppers are seeking better deals, even if it means driving a little farther from their usual stores.
This shift in consumer behavior is one reason why Walmart (WMT) has experienced strong financial performance in 2024. The retail giant reported stronger-than-expected fiscal Q1 2025 earnings, highlighting a 5.7% sales growth and a 12.9% increase in adjusted operating profit in constant currency. CEO Doug McMillon attributed this success to the company’s price-rollback program, which has resonated well with customers.
Revamping the Shopping Experience
Walmart is not just focused on price; the company is also dedicated to enhancing the overall shopping experience. McMillon noted on the earnings call that the company’s ongoing store remodels and improved curbside pickup and delivery options have positively impacted customer satisfaction metrics.
Walmart has committed at least $9 billion to this initiative, aiming to revamp around 1,400 stores over several years. The planned changes include:
- Updated interiors and exteriors
- New paint, signage, and shopping carts
- More spacious, navigable aisles
- Redesigned checkout areas
- Centrally located and larger pharmacies
- Enhanced vision centers with designer eyewear
- Interactive displays showcasing home designs and products
- Expanded pickup and delivery spaces
- Seasonal items in dollar shops
- A new “Grab & Go” section for fresh meals and drinks
Expanding Food Offerings
In addition to improving the shopping environment, Walmart is also refreshing its food offerings to attract new customers. Historically, many Walmart locations have included fast-food options like McDonald’s, Subway, and Taco Bell. However, Walmart is now looking to enhance these offerings with fresh partnerships.
Recently, Walmart announced a collaboration with Knuckies Hoagies, a Georgia-based chain known for its specialty sandwiches and cheesesteaks. This partnership allows franchisees to open an Alumni Cookie Dough spot within each location, further diversifying Walmart’s food options. Founded in 2019, Knuckies was recognized in QSR’s 40/40 list as one of the most popular restaurants in the U.S. with fewer than 40 locations. Currently, it operates 14 shops within Walmart across six states, including Georgia, South Carolina, North Carolina, Tennessee, Oklahoma, and Texas.
Walmart has also expanded food offerings in hundreds of stores this year, recently partnering with Mr. Gatti’s Pizza in over 90 locations and furthering its collaboration with Uncle Sharkii’s Poke.
With these initiatives, Walmart aims to solidify its position as a go-to destination for budget-conscious shoppers while providing an enhanced shopping experience that keeps customers coming back.
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