Wal-Mart Stores Inc.’s WalMart.com re-introduced apparel sales today after having discontinued them in 2001. It expects to overcome earlier weaknesses in its online apparel strategy with a stronger fulfillment network and a more comprehensive offering of clothes for men, women and children, the company says.
WalMart.com, No. 11 in Internet Retailer’s Top 300 Guide to online retailers, is offering the same assortment of apparel as customers find in Wal-Mart stores, but will consider modifying the online offerings after gathering feedback from customers and analyzing their online shopping behavior, a spokeswoman says. Its line includes three exclusive Wal-Mart brands: White Stag, Faded Glory denim and George, its fashion label. It also offers national brands including Rider and Wrangler denim, and mary-kateandashley for girl’s wear.
WalMart.com included apparel when it launched in 2000, but dropped the category in April 2001 due to a combination of fulfillment costs and a limited number of product offerings available in the early days of the web site, the spokeswoman says. “We’ve used the time since then to better understand the apparel needs of customers,” she adds.
WalMart.com now also has a more effective fulfillment system, including a network of distribution centers dedicated to the web site, she says. Online sales now can also be fulfilled from Wal-Mart’s distribution centers for its stores and from the stores themselves, she adds.
Analysts say Wal-Mart probably shouldn’t have waited so long to bring back online apparel, but applauded its move nonetheless. "It’s not easy for retailers to make direct marketing work logistically and merchandise-wise," says Will Ander, senior partner with retail consultants McMillan/Doolittle. "At first Wal-Mart may have thought that just its name would be wonderful for online apparel sales, but then realized they had to back off because they couldn’t do it cost-effectively and still stick to their low-price strategy.
"So having stopped online apparel sales was a smart strategy, though they probably shouldn’t have gone as long without it as they did. The big issue here is multi-channel. The web is too big a communication vehicle to ignore, because it helps customers buy in stores even if they don’t buy online."
WalMart.com accepts returns of apparel merchandise to Wal-Mart stores as well as through the mail, and it has designed its apparel category to be user-friendly with descriptions of product content and care requirements, the spokeswoman adds.
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