Amazon And Walmart Make Hay As Businesses Suffer Globally
Not all businesses are heading towards doom during the lockdown, a few are doing better than before. Amazon and Walmart, two of the US’ retail giants are flourishing amid a global pandemic
Both companies reaped profit at a time when more than fourty million (40 crore) Americans have filed for unemployment benefits in the last 10 weeks of lockdown.
Not all businesses are heading towards doom during the lockdown, a few are doing better than before. Amazon and Walmart, two of the US’ retail giants that are flourishing amid a global pandemic.
Walmart's US e-commerce sales are expected to rise 44.2% to $41.01 billion this year, a notable jump from 2019’s stellar 36.8% growth. As per the company’s fiscal 2021 Q1 results, Walmart’s digital sales rose 74%, nearly double the 37% growth rate during the same period last year.
Credit goes to Walmart’s previous investments in online grocery delivery and pickup services, the company appears to be in a robust position as consumers have increasingly turned to e-commerce amid the corona crisis.
On the other hand, Amazon emerged as another big winner of the pandemic, declaring it made $75.4bn as revenues in the first three months of 2020 — that’s over $33m an hour. The spike in sales, 26% higher than the same time last year, came at a cost, as profit fell 29% from a year earlier to $2.5bn.
Amazon’s net sales rose to $46bn for the first quarter, up from $35.8bn for the same period last year. While it has delayed its annual Prime Day, Amazon is preparing for an earlier “Summer Sale” to further boost sales.
Though, before Covid-19, Amazon orders accounted for about 42% of online spending in the United States. By mid-April, that had fallen to 34%, according to data from Rakuten Intelligence, an analytics firm.
The world’s richest man, Jeff Bezos, added $13bn to his fortune of $145bn in April, as Amazon’s share price touched a new high. Amazon has been hiring at a rapid pace to fulfill its customers’ demands.
Both companies reaped profit at a time when more than 40 crore Americans have filed for unemployment benefits in the last 10 weeks of lockdown. For a perspective, the combined worth of both, Amazon and Walmart, is over $1.5 trillion i.e more than 50% of India’s GDP, which currently stands at $2.8 trillion.
Walmart's US e-commerce sales are expected to rise 44.2% to $41.01 billion this year, a notable jump from 2019’s stellar 36.8% growth. As per the company’s fiscal 2021 Q1 results, Walmart’s digital sales rose 74%, nearly double the 37% growth rate during the same period last year.
Credit goes to Walmart’s previous investments in online grocery delivery and pickup services, the company appears to be in a robust position as consumers have increasingly turned to e-commerce amid the corona crisis.
On the other hand, Amazon emerged as another big winner of the pandemic, declaring it made $75.4bn as revenues in the first three months of 2020 — that’s over $33m an hour. The spike in sales, 26% higher than the same time last year, came at a cost, as profit fell 29% from a year earlier to $2.5bn.
Amazon’s net sales rose to $46bn for the first quarter, up from $35.8bn for the same period last year. While it has delayed its annual Prime Day, Amazon is preparing for an earlier “Summer Sale” to further boost sales.
Though, before Covid-19, Amazon orders accounted for about 42% of online spending in the United States. By mid-April, that had fallen to 34%, according to data from Rakuten Intelligence, an analytics firm.
The world’s richest man, Jeff Bezos, added $13bn to his fortune of $145bn in April, as Amazon’s share price touched a new high. Amazon has been hiring at a rapid pace to fulfill its customers’ demands.
Both companies reaped profit at a time when more than 40 crore Americans have filed for unemployment benefits in the last 10 weeks of lockdown. For a perspective, the combined worth of both, Amazon and Walmart, is over $1.5 trillion i.e more than 50% of India’s GDP, which currently stands at $2.8 trillion.
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