Walmart is a retail chain American multinational corporation that runs a network of discount department stores, hypermarkets, supercenters, and grocery stores. Bud Walton and Sam Walton established the retail chain company in 1962. Today, we’ll discuss the BCG matrix of Walmart; it will focus on the four growth market share quadrants; stars, cash cows, question marks, and dogs.
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The BCG matrix of Walmart would focus on the four growth rate market share quadrants stars, cash cows, question marks, and dogs. Here Walmart BCG matrix growth share analysis is as follows;
BCG Matrix of Walmart
Let’s discuss the four growth share quadrants in the BCG matrix of Walmart, and they are as follows;
Stars of Walmart
The star quadrant in the Walmart BCG matrix growth share analysis comprises such products, services, and businesses that have higher market share and higher growth rates. They contribute significantly to the sales, revenue, and profitability of the retail chain store corporation. However, some of the main star products and businesses of Walmart are as follows;
I-Supermarkets & Supercenters
According to an estimate, the market share of Walmart’s supercenters and grocery segment increased from 23% to 25% with the increasing growth rate in the US market. The reason for their higher market share and higher growth rate is that Walmart Supercenters offers customers a wide range of products and services in general merchandise, grocery, pharmacy, and various other categories.
II-Walmart Global E-commerce
Approximately 98% of the customers are familiar with the Walmart brand name and it is a very popular online shopping platform during the holiday season. The online sales of the company’s e-commerce platform contributed roundabout 52 million USD in 2022 with an increasing growth rate.
III-Walmart USA
According to an estimate, the annual revenue of the Walmart US business division in 2023 was 421 billion USD with an increasing growth rate. The increasing market share and growth rate puts Walmart US in the star quadrants.
Cash Cows of Walmart
The cash cow quadrant in the Walmart BCG matrix growth share analysis includes such products, services, and businesses that have higher market share and lower growth rates. They contribute significantly to the sales, revenue, and profitability of the retail chain store corporation. However, some of the main cash cow products and businesses of Walmart are as follows;
I-Sam’s Club
The membership fee generated an annual revenue of 2.6 billion USD for the Sam’s Club. The growth rate of the Sam’s Club is a bit slower, and that’s why it is in the cash cow segment. However, it offers credit card and financial service facilities with an affordable price range.
II-Walmart International
According to an estimate, Walmart International division has a network of 2862 location points and stores and will generate roundabout 101 billion USD by 2023. The international segment of Walmart has achieved a significant market share, but its growth rate is a bit slower.
Question Marks of Walmart
The question mark quadrant in the Walmart BCG matrix growth share analysis consists of such products, services, and businesses that have lower market share and higher growth rates. They have the potential to become the next star business of the retail chain brand if the company focuses on the weak areas. However, some of the main question mark products and businesses of Walmart are as follows;
I-Neighborhood Market
Walmart introduced the Neighborhood Market segment in 1998 and it has a network of only 700 stores. It focuses on offering healthier food and local ingredients to quality-conscious customers. The neighborhood market has a limited market share and an increasing growth rate in the local markets.
Dogs of Walmart
The dog quadrant in the Walmart BCG matrix growth share analysis outlines such products, services, and businesses that have lower market share and lower growth rates. Instead of contributing revenue to the retail chain store corporation, they consume a lot of capital resources of the company. However, some of the main dog products and businesses of Walmart are as follows;
I-Discount Stores
The market share and growth rate of Walmart Discount stores is very low and the company is shutting them down permanently. Most of them have already been closed, because they were consuming a lot of capital resources of the retail chain store brand. Nowadays, the retail chain brand only offers discount offers during a particular season.
Conclusion: Walmart BCG Matrix Growth Share Analysis
After an in-depth study of the BCG matrix of Walmart; we have realized that Walmart is the world’s leading retail chain store American brand. If you are learning about the Walmart BCG matrix growth share analysis; then you should keep in mind the abovementioned four quadrants stars, cash cows, question marks, and dogs.
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