Walmart has launched a mobile application, allowing the customer to have a shopping list, and to have information about the promotions and the products.
According to the article, the application generates sales incremental of 40%. The only thing is that we don't know if it is 40% more than prior to them using the application or 40% more than people who don't own the application.
It changes a lot, because:
- If it is 40% more than before, that means the application really has an impact on customer behavior, proposing extra value to the shopping experience. I find that hardly possible to have such outstanding performances, especially because the application seems to be standard, with no extraordinary innovations.
- If it is 40% more than customers without it, it maybe because people who own smartphones tend to have more money than people who don't. Also, probably people with the applications are people who are more loyal, and hence, tend to spend more.
Nevertheless, Walmart made a right move in investing in mobile strategy, because it allows the retailer to improve its customer experience + its knowledge of customer's shopping habits.
