Walmart, one of the largest retailers in the world, is embracing technology to enhance the shopping experience for its customers. At the recent Consumer Electronics Show (CES) in Las Vegas, Walmart CEO Doug McMillon and other top executives highlighted the role of artificial intelligence (AI) and drone delivery in driving growth and improving customer interactions.
According to McMillon, advancements in technology have made anything seem possible, and Walmart aims to be a people-led, technology-empowered omnichannel retailer. The company collaborated with Microsoft to improve the online browsing and search functions on Walmart.com. The result is a new generation AI-powered search experience that offers users a more convenient shopping trip. By simply searching for items like football watch party, shoppers can find a wide range of snack foods and other party supplies in one go. The feature is currently available on IOS Apple technology and will soon be introduced on other platforms.
The AI search also takes into account factors such as location, search history, and other contextual information to further refine search results. Walmart utilizes a combination of its proprietary data and technology, as well as large language models like Microsoft Azure OpenAI Service and retail-specific models built by Walmart. This new design curates a list of the best items that a shopper may be looking for.
Megan Crozier, Chief Merchant at Sam’s Club, revealed that the wholesale club is piloting AI technology that automatically scans a member’s receipt if they used the Scan & Go option with their mobile phones. This eliminates the need for members to stop at the door to have their receipt checked. Instead, they can simply pass through an archway where their basket purchase is checked, allowing for a faster exit. The AI archway is currently being tested in nine clubs in the Dallas metro area and one in Joplin, Mo. It is expected to be available at all 600 clubs by the end of the year.
Latriece Watkins, Chief Merchandising Officer at Walmart U.S., announced the development and beta testing of a new feature called Shop with Friends. This social commerce platform incorporates augmented reality, virtual try-on, and other technologies. Customers can mix and match apparel items to create virtual outfits on a model with similar sizing and shape. They can then share their fashion finds with friends and ask for feedback. The feature integrates mobile sharing applications that enable friends to communicate with the shopper and provide comments. Online shoppers will have access to this social shopping feature in the coming weeks.
Walmart also provided an update on its InHome business, which offers customers the option to have their orders placed inside their homes or refrigerators. The company introduced InHome Replenishment, an AI-powered feature that uses a personalized replenishment algorithm to anticipate and plan orders delivered directly to customers’ pantries and refrigerators. The technology learns customers’ regular purchases, quantities, and frequency to fill their online shopping carts automatically. This ensures that customers always have essential items in their refrigerators or pantries.
Prathibha Rajeshekhar, responsible for automation and innovation at Walmart, discussed the expansion of drone delivery in the Dallas metro area. Walmart has been conducting drone deliveries with 37 hubs across seven states, completing over 20,000 customer deliveries. Approximately 75% of items stocked in a Walmart supercenter meet the size and weight requirements for drone delivery. Through partnerships with Zipline and Wing, Walmart has expanded its drone delivery service to over 30 towns and municipalities in the Dallas-Fort Worth area, covering about 75% of households. Deliveries are received within 30 minutes, with some arriving as quickly as 10 minutes.
McMillon emphasized that Walmart’s focus on technology is essential to usher in the next era of retail. While technology plays a significant role, it is crucial for Walmart to create better careers for its employees while enhancing the customer experience and overall business performance. By putting people first, Walmart leverages technology to serve their customers better.
With ongoing advancements in AI, drone delivery, and other innovative technologies, Walmart continues to revolutionize the retail landscape, offering faster and more convenient shopping experiences for its customers.
