Amazon, Ignore Walmart+ At Your Own Peril
The new subscription-based service from Walmart (NYSE: WMT) called Walmart+ isn't exactly an existential threat to Amazon (NASDAQ: AMZN). It would be short-sighted of Amazon, however, to believe Walmart+ won't chip away at its market share.
In fact, it probably already has. A recent survey taken by market research firm Piplsay suggests around 11% of the roughly 330 million people living in the United States had signed up for Walmart+ within the first two weeks of its mid-September launch. That's on the order of 36 million members, versus Consumer Intelligence Research Partners' recent estimate of 112 million U.S. subscribers to Amazon's similar Prime service. Piplsay's numbers further indicate that, of the consumers already signed up for Walmart+, 45% also subscribe to Prime, while another 36% say Walmart+ is their first subscription of the kind. Yet another 19% of recently enrolled Walmart+ users say they canceled Prime to step into the brick-and-mortar retailer's delivery footprint.
It's that last data nugget that should bug Amazon and its shareholders the most.
Source Fool.com
