Walmart's rapid rise: a look at the future of challenging Amazon's e-commerce hegemony

According to a recent analysis by Marketplace Pulse, Walmart is growing rapidly and emerging as a major market player capable of competing with e-commerce giant Amazon. While Amazon currently leads the U.S. e-commerce space with about 401 TP3T of market share, Walmart is showing strong growth despite having less than 101 TP3T of market share. Especially in the online grocery segment, Walmart has shown a strong business capability.

Since the beginning of 2016, Walmart has intensified its focus on e-commerce and has surpassed $100 billion in its global e-commerce sales in 2023, with the main contribution coming from the U.S. market. This spectacular growth shows that Walmart has a huge potential for growth in e-commerce. Meanwhile, Walmart has surpassed eBay as the second largest e-commerce platform in the U.S. with over 100,000 active sellers.

Amazon's main strength is its huge range of products, which promises to fulfill all the search needs of its customers. However, choices are limited for marketplace-dependent sellers, who are almost exclusively dependent on the dominant Amazon. In contrast, Walmart is getting closer to Amazon in terms of market position and volume, although it may not be able to fully match Amazon in terms of product range.

On the other hand, one of Walmart's significant advantages over Amazon is its nationwide network of brick-and-mortar stores. This not only adds flexibility to its e-commerce strategy, but also provides a unique customer experience that closely integrates online and offline sales. By integrating its brick-and-mortar and online operations, Walmart is able to provide more personalized and convenient service to its customers.

According to Marketplace Pulse, Walmart is emerging as a major competitor to Amazon as it expands its market share. Walmart's share of the e-commerce market is expected to increase further as it continues to increase its investments to enhance the seller experience. Although Walmart is still small compared to Amazon, its approach to fulfillment, marketplace and marketing has shown results. It remains to be seen whether Walmart will be able to overtake Amazon as the leader of the e-commerce market in the future. However, it is certain that this competition will have a positive impact on the development of the e-commerce market.