‘Walmart Deals’ versus ‘Prime Day’: Who’s Gaining Ground?

The retail giants will launch competing summer discount events beginning July 8.

An Amazon Prime delivery van near a Walmart store in Richmond, Calif., on Sept. 3, 2020. Justin Sullivan/Getty Images

News Analysis

Walmart is gearing up to challenge Amazon during Prime Day this week with an overlapping discount event—and a longer run. At the same time, the nation’s largest retailer is regaining its competitive edge over the online sales pioneer, thanks to its strategy of turning its extensive store network into a showcase for its online customers.

Walmart announced on June 23 that it will run its “Walmart Deals” summer event from July 8 to 13, marking the first time the retailer will offer deals both in stores and online, whereas in previous years the event was available online only. The duration has also been extended to six days, up from four in past years.

Amazon, meanwhile, announced on June 17 that it will hold its “Prime Day” summer sale from July 8 to 11, marking the first time the event will span four days. “Prime Day” began as a one-day sale in 2015 and expanded to two days from 2019 through 2024.

This showdown also highlights the fierce competition between the nation’s two largest retailers and brings to the forefront Walmart’s strategic efforts to resist Amazon’s encroachment on its market share and maintain its position as the top U.S. retailer by annual sales—so far.

Walmart-Amazon Competition

Walmart lost its competitive advantage to Amazon more than a decade ago, as its once-phenomenal sales growth stalled—and even turned negative in 2016. Its net profit margin declined from around 3.5 percent in 2010 to about 1 percent in 2018, indicating the retail giant generated minimal returns for its stockholders.

Meanwhile, Amazon’s sales growth soared during that period, boosting its net profit margin from 3.83 percent in 2010 to 4.33 percent by 2018.

In recent years, Walmart’s sales have resumed growth, rebounding from a 1.44 percent decline in 2016 to increases of 8.74 percent in 2022 and 2.54 percent as of April this year. At the same time, its net profit margin recovered to 2.75 percent in April.

On the other hand, Amazon’s annual sales growth has slowed, dropping from a peak of 40 percent in 2018 to below 15 percent since December 2021, with many months falling under 10 percent.

As a result, Walmart’s stock has gained 165 percent over the past five years, compared with a 54 percent increase in Amazon’s shares.

Walmart’s Strategic Transformation

Walmart has undergone a strategic transformation in recent years, evolving from a traditional single-channel retailer into a multichannel operator. This shift has been driven by significant investments in software development, the acquisition of digital properties to expand its e-commerce capabilities, the launch of Walmart Connect, and the purchase of Vizio Holding Corp.—moves that have helped position the retail giant as a multi-platform network for major advertisers.

Walmart has also been capitalizing on its extensive network of brick-and-mortar stores to ride the new trend of unified retailing, the merging of online and offline sales, which allows retailers to interact with customers consistently and deliver what merchandise consumers want when and where they want it.

The company currently operates more than 10,750 stores worldwide under its namesake and Sam’s Club brands, including approximately 4,700 in the United States. According to Walmart, 90 percent of the U.S. population lives within 10 miles of at least one of these stores.

“They didn’t try to beat Amazon purely at e-commerce but focused on integrating stores, pickup, delivery, and mobile app experiences,” Wesley Almeida, a senior product leader with over 20 years in retail and loyalty, told The Epoch Times. “That gave customers flexibility while fully leveraging their store network.”

In early 2021, Walmart announced its “Store-as-Fulfillment” strategy, which positions physical stores as fulfillment centers for online orders, aiming to reduce delivery distances and improve speed.

Joosep Seitam, cofounder and CEO of Icecartel, a New York-based men’s jewelry e-commerce platform, told The Epoch Times that Walmart “flourished by using their assets rather than merely surviving Amazon’s domination.”

“It made its physical places a hidden tool. Using these stores as fulfillment centers for internet orders helped to reduce shipping expenses and quicken delivery dates,” he said.

Max Levin, managing director of Snapl, which specializes in e-commerce fulfillment, believes what sets Walmart apart is the blending of traditional strengths with selective digital innovation.

“The company invested heavily in automation, supply chain efficiency, and retail media through Walmart Connect, which mirrors Amazon’s ad business but is tailored to Walmart’s core customer,” he told The Epoch Times.

“These moves allowed Walmart to grow e-commerce profitably, expand its assortment, and better monetize its traffic—all while maintaining its value proposition around price and convenience.”

Walmart’s latest financial report highlights the company’s expansion into omnichannel retailing, including growth in e-commerce sales alongside its physical stores.

The company’s global advertising business grew by 50 percent, led by “Walmart Connect” in the United States, which saw a 31 percent increase.

Global e-commerce sales rose by 22 percent, driven by store pickup, delivery, and marketplace.

Not Another Amazon

Levin views these moves as transforming Walmart not into another Amazon but into a more agile, digitally enabled version of itself.

“That strategic clarity has translated into real financial results, including a 165 percent increase in stock value over five years. Walmart’s hybrid model—grounded in physical scale but enhanced by digital infrastructure—has proven not just competitive, but durable.”

Rich Pleeth, cofounder and CEO of Finmile, an AI logistics SaaS platform that helps retailers cut delivery costs and emissions through real-time route optimization, highlighted Walmart’s operational discipline and investments in last-mile delivery, store-based fulfillment, and inventory management as key factors in its recent performance.

“While Amazon went big on cloud and media, Walmart quietly built a logistics engine that’s leaner, more agile, and increasingly AI-enabled,” he told The Epoch Times.

Amazon, meanwhile, is also working to accelerate its delivery speed and expand its brick-and-mortar presence across various formats—including Amazon Fresh, Whole Foods, and Amazon Go—while leveraging these locations as fulfillment centers.

The company recently announced that it’s expanding its same-day and next-day delivery to more than 4,000 smaller cities, towns, and rural communities by the end of the year.