Over the past few months, Walmart has been sweetening the deal for shoppers by implementing several bold changes in its stores as consumers nationwide pull back their spending amid concerns about tariffs making goods less affordable.
During the second quarter of this year, Walmart quietly introduced 7,400 price rollback discounts, which is 2,000 more than last quarter, despite facing higher costs from tariffs.
“We’re keeping our prices as low as we can for as long as we can,” said Walmart CEO Doug McMillon during an earnings call in August.
In June, Walmart also doubled down on convenience by expanding its drone delivery service to five cities across the country: Atlanta, Houston, Charlotte, Tampa, and Orlando.
Earlier this month, Walmart even said it will remove synthetic dyes and an additional 30 ingredients, such as certain preservatives, artificial sweeteners and fat substitutes, from its private-label food brands in U.S. stores. This comes after a survey revealed that most of its customers want more transparency regarding ingredients in food products.
Walmart tests another bold store change to retain shoppers
Now, Walmart is making another major store change to attract customers, this time targeting car owners.
The retail giant is piloting contactless Auto Care Centers in select stores. The new centers allow customers to schedule car service appointments, check in, and track their car’s progress through the Walmart app, according to a press release.
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Here’s how it works:
- Customers sign into the Walmart app and select “Services.” They can then schedule an auto appointment by clicking “Auto Services.”
- At the time of the appointment, customers can park near the Auto Care Center and check in using the app.
- Customers can then follow the app’s instructions to unlock their assigned locker, which they will use to drop off their car keys at the Auto Care Center.
- While their car is being serviced, customers can receive live updates of its progress through the app and will be notified when it is ready to be picked up.
“We know our customers are busy, and we want to make their lives a little easier every day. The Walmart app is a place where you can do it all — whether it’s booking a car service, picking up or ordering your weekly groceries for delivery, or scheduling a flu shot. Our goal is to help customers save money and live better, giving them time back for what matters most.”
– Tracy Poulliot, senior vice president of shopping experience at Walmart U.S.
The first contactless Auto Care Center opened in Fayetteville, Ark., last week, and the retailer plans to open five more of these locations over the next few months in Ohio, Georgia, Texas, West Virginia, and Pennsylvania.
Currently, customers can only book tire installation appointments through the app. Walmart plans to later expand this feature to battery replacements, oil changes, and other car maintenance services.
Walmart is battling growing competition
Walmart’s shift to contactless Auto Care Centers comes as it faces heightened competition from dealerships that have also focused on making their car repair services more convenient for customers.
A survey from mobile service platform Curbee last year revealed that dealerships offering mobile vehicle services (when a mechanic services a car at a customer’s home or office) attract a high number of customers to their service departments.
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This is vital because service departments lose an average of $853,000 to $1.17 million annually due to missed calls and unbooked service appointments.
Curbee’s survey found that 92% of customers who hadn’t visited their dealer for over 18 months accepted a mobile service appointment when offered the service.
Also, 60% of the services provided to vehicles over seven years old were oil changes and tire repairs.
“Mobile service represents a significant opportunity for dealers to modernize operations and deepen customer relationships,” said Curbee CEO Amit Chandarana in the survey. “By prioritizing convenience and meeting customers on their terms – at their home or at the office – the industry can tackle one of its most pressing challenges: bringing lapsed customers back into the fold.”
Related: Target announces big change to self-checkout ahead of holidays
