📖 Your Q2 Earnings Guide: Discover the Stocks ProPicks AI Highlights to Jump Post-EarningsRead more

Walmart to replace paper shelf labels with digital price screens in 2,300 stores

Published 06/06/2024, 06:16 PM
Updated 06/06/2024, 06:21 PM
© Reuters. FILE PHOTO: A worker sets up a display of dish washing liquid in preparation for the opening of a Walmart Super Center in Compton, California, U.S., January 10, 2017.  REUTERS/Mike Blake/File Photo

By Siddharth Cavale

BENTONVILLE, Arkansas (Reuters) - Paper shelf price labels are going away at thousands of Walmart (NYSE:WMT) stores.

The company on Thursday announced an expanded roll-out of digital shelf labels that will allow it to update prices on over 120,000 items within minutes.

Weekly updates to paper shelf labels typically took a store worker about two days. With digital labels, prices can be updated within two minutes after a few clicks through its mobile app for workers called Me@Walmart, the company said.

The new labels are small square screens that look very much like the paper labels they will replace. They will also enable workers to pick products for online order fulfillment faster, the company said in a statement.

The digital shelf tags will appear on shelves at 2,300 stores by 2026, said Greg Cathey, senior vice president of transformation and innovation at Walmart, which operates 4,700 U.S. stores.

The way companies price products have become a hot button issue recently after burger chain Wendy's (NASDAQ:WEN) was scorched on social media after its CEO suggested it may start testing "dynamic pricing" or surge pricing based on demand, especially during peak hours of the day.

Cathey said Walmart had no plans to do that.

"It is absolutely not going to be one hour it is this price and the next hour it is not," he said on the sidelines of Walmart's annual shareholder meet in Bentonville, Arkansas, on Thursday.

© Reuters. FILE PHOTO: A worker sets up a display of dish washing liquid in preparation for the opening of a Walmart Super Center in Compton, California, U.S., January 10, 2017.  REUTERS/Mike Blake/File Photo

Merchants typically provided pricing updates to Walmart on a weekly basis, but with digital price tags, they can pass on price changes to Walmart daily, Walmart spokesperson Cristina Rodrigues said.

Rodrigues said these prices are updated overnight, left the same during the day and revisited again after store hours or before the store opens the next day.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.