Savings Catcher Catches On With Consumers

Not so long ago, analysts were criticizing Wal-Mart Stores Inc. for not keeping up with e-commerce and mobile trends.

Those analysts are likely eating their words after learning that Walmart’s mobile app now ranks No. 3 in retail apps, right behind e-commerce pioneers and powerhouses Amazon and eBay.

In fact, according to retail journalist Shelley Banjo, eBay may have something to worry about as Walmart continues to catch up with its mobile numbers.

“With 22 million users as of June 2015, Walmart’s app is now the most popular among retailers after e-commerce heavyweights Amazon and eBay, according to an upcoming report from comScore. And at more than 400 percent year-over-year growth, it’s on pace to surpass eBay,” Banjo wrote in a recent issue of Quartz magazine.

The reason for Walmart’s success? According to Banjo, Walmart simply translated what it always knew about its consumers into an app. Shoppers at Walmart are typically on a budget and looking for low prices. Walmart’s success has always been based on providing these low prices to its shoppers.

As a result, Walmart won’t be beaten on price and authorizes price matching at the register when consumers can find a better deal elsewhere.

Historically, however, it’s been up to the consumer to find out whether he or she can buy a product cheaper at a Walmart competitor. These budget-conscious shoppers would have to review local sales fliers and newspaper ads to see if a retailer was offering a lower price on a product.

This process can be cumbersome and time-consuming. Walmart thought it could do better by its customers.

“Customers would come to the stores with the 15 flyers they look through every week to find the best prices on toilet paper,” Helen Vaid, vice president of customer experience at Walmart.com, told Quartz. “We thought, what if Walmart could take away that need to scour the market every time you walked into a store?”

Walmart’s app incorporates Savings Catcher, a straightforward function that helps consumers match prices without having to dig through newspapers or advertising circulars. After registering a Savings Catcher account, customers can scan a barcode on the receipt (or enter a transaction number), and the app will automatically search competitor’s prices. If a lower price is available, Walmart credits the difference to a gift card that the customer can use on future purchases.

Walmart hasn’t forgotten that not all of its shoppers have smartphones, or that some of them may not want to use their data plans while shopping. Customers can enter receipt information online at savingscatcher.walmart.com from any computer and qualify for their price match rebate in the same way as on a mobile device.

The Walmart app isn’t just about price savings, though. Walmart customers who download the app will have 24/7 access to many Walmart services, including online ordering from Walmart.com, a store locator, in-store searches, a gift registry, prescription refills and the latest news about price rollbacks and other savings opportunities.

According to the Quartz article, other app features in development include a way of notifying Walmart store employees that a customer is entering the parking lot to pick up an online grocery order. As of the end of September, the app has a 4+ star rating on the Google Play app store, indicating that customers are satisfied with its performance.

Over the past several years, Walmart has repeatedly stated that it has a strong commitment to e-commerce and mobile sales. The success of Walmart’s app demonstrates that commitment and provides exciting evidence that we can expect much more from Walmart and its online and mobile offerings.